IRS Notice 2019-64 Provides 2019 Required Amendments List | Practical Law
The Internal Revenue Service (IRS) issued Notice 2019-64, which provides the 2019 Required Amendments List for qualified retirement plans and Section 403(b) retirement plans.
The Internal Revenue Service (IRS) issued Notice 2019-64, which provides the 2019 Required Amendments List for qualified retirement plans and Section 403(b) retirement plans.
On December 4, 2019, the IRS issued Notice 2019-64, which provides the 2019 Required Amendments List for qualified retirement plans and Section 403(b) retirement plans. The IRS added changes in 403(b) plan requirements to the Required Amendments List beginning in 2019. Individually designed qualified retirement plans and individually designed 403(b) plans must be amended by December 31, 2021 (the expiration of the remedial amendment period in the 2019 Required Amendments List) for any changes in requirements included on the list.
List the statutory and administrative changes in qualification requirements that require a plan amendment and become effective during the plan year in which the list is published.
Establish the deadline for a plan to be amended to comply with the requirements that are identified on the list.
Part A, which provides the changes in requirements that generally would require an amendment to most plans or most plans of the type affected by the change.
Part B, which provides the changes in requirements that the Treasury Department and the IRS anticipate will not require amendments in most plans, but might require an amendment because of an unusual plan provision in a particular plan.
The Treasury Department and the IRS anticipate that few plans have language that will need to be amended for annual, monthly, or other periodic changes to:
The various dollar limits that are adjusted for cost of living increases as provided in Code Section 415(d) (26 U.S.C. § 415(d)).
The spot segment rates used to determine the applicable interest rate under Code Section 417(e)(3) (26 U.S.C. § 417(e)(3)).
The applicable mortality table under Code Section 417(e)(3) (26 U.S.C. § 417(e)(3)).
These changes are treated as included on the Required Amendments List for the year in which the changes are effective even though they are not directly referenced on that year's Required Amendments List.
The Required Amendments List does not include:
Statutory changes in requirements for which the Treasury Department and the IRS expect to issue guidance.
Changes in requirements that permit (but do not require) optional plan provisions.
eliminate the suspension of elective contributions or employee contributions as a condition of obtaining a hardship distribution; and
require plan sponsors to obtain a participant's representation regarding insufficient cash or liquid assets to meet a financial need.
The final regulations on cash balance plans (79 Fed. Reg. 56442 (Sept. 19, 2014); 80 Fed. Reg. 70680-02 (Nov. 16, 2015)). Plan sponsors must amend collectively bargained cash balance plans, as needed, to comply with the regulations' provisions concerning market rate of return and other requirements that first apply to these plans for the plan year beginning on or after the later of:
January 1, 2017; and
the earlier of (a) January 1, 2019, and (b) the date on which the last of those collective bargaining agreements terminates (determined without regard to any extension thereof on or after November 13, 2015) (see Practice Note, Cash Balance Plans).
Part B does not include any entries listing changes in qualification requirements that might require amendments in some plans.
For more information on the required qualified retirement plan amendments for individually designed plans that must be adopted to comply with the Code by the end of the 2019 plan year, see Article, Required 2019 Qualified Retirement Plan Amendments.
Remedial Amendment Period
For individually designed plans, Revenue Procedure 2016-37 extended the remedial amendment period for a disqualifying provision resulting from a change in qualification requirements to the end of the second calendar year that begins after the issuance of the Required Amendments List on which the change in qualification requirements appears. The plan amendment deadline is the date on which the remedial amendment period ends for a disqualifying provision.
The last day of the remedial amendment period for disqualifying provisions and form defects resulting from a change that appears on the 2019 Required Amendments List.
The plan amendment deadline for a disqualifying provision or form defect resulting from a change in requirements that appears on the 2019 Required Amendments List.