|
|
May 12, 2008
|
Current Stories
|
|
|
Officials Field Questions, Offer Warnings To Practitioners Implementing New PPA Rules
An Internal Revenue Service official said March 29 that as
officials are starting to process determination letter requests for
defined benefit cash balance plans, which had been subject to a
moratorium since 1999, they have noticed that more information may be
needed from plan sponsors to specify certain facts that were involved
with converting the prior traditional defined benefit plan to the new
hybrid plan. Publication date March 30, 2007
Link to Story
Treasury Official Outlines Priorities of Department for PPA-Related Guidance
Harlan M. Weller, actuary of the Department of the Treasury's
Office of Tax Policy, outlined March 21 the department's priorities
for Pension Protection Act related guidance for single-employer
defined benefit pension plans. Publication date March 23, 2007
Link to Story
PPA Emphasizes Plan 'Stewardship,' Provides More Tools for Protecting Plans
The Pension Protection Act of 2006 added emphasis to the
“stewardship” of multiemployer plans, Eli Greenblum, an
actuary and senior vice president of the Segal Co., said March 21 at a
BNA-sponsored pension conference. Publication date March 23, 2007
Link to Story
Rulings and Agreements Director Lists Priorities for Remainder of Fiscal 2007
Priorities outlined March 21 by Andrew E. Zuckerman, Internal
Revenue Service director of rulings and agreements, for the rest of
fiscal 2007 included issuing guidance on employee benefits provisions
enacted in the Pension Protection Act, working on the backlog of
determination letters for roughly 1,250 defined benefit cash balance
plans, and reducing the inventory of cases in the voluntary compliance
program. Publication date March 23, 2007
Link to Story
Final Rules on Automatic Enrollment Will Address Commenters' Questions
Final regulations on automatic enrollment and default investment
alternatives are expected to be released in April, Labor Department
official Erin M. Sweeney said March 21 at a BNA sponsored
conference. Publication date March 23, 2007
Link to Story
IRS Issues Notice With Q&A Guidance for Changes to Plan Deduction Limits
The Internal Revenue Service March 13 released guidance (Notice
2007-28) in the form of questions and answers related to newly enacted
changes to the deduction limits for employer contributions to deferred
compensation plans under tax code Section 404. Publication date March 15, 2007
Link to Story
Rep. Pomeroy Expresses Interest in Revisiting the Pension Protection Act
Rep. Earl Pomeroy (D.-N.D.), a central figure on pension issues in
Congress, March 13 indicated an interest in revisiting the Pension
Protection Act of 2006, saying enactment of the law was based on a
“snapshot.” Publication date March 15, 2007
Link to Story
Treasury, IRS Add to Guidance Priorities Various Rules, Notices Implementing PPA
In a March 12 update to the 2006-2007 Priority Guidance
Plan, the Treasury Department and Internal Revenue Service
included what officials described as “substantial guidance
implementing the Pension Protection Act of 2006.” Publication date March 14, 2007
Link to Story
No Transitional Relief for Rollover to Nonspouse, IRS Official Says
The Internal Revenue Service made the decision not to provide
transitional relief under Section 829 of the Pension Protection Act
for years prior to 2006 regarding nonspouse beneficiary rollovers, an
Internal Revenue Service official said March 9. Publication date March 13, 2007
Link to Story
DOL Interim Final Rule Clarifies Issues of QDRO Timing and Order
The Department of Labor's Employee Benefits Security Administration
released March 6 an interim final rule clarifying issues relating to
the timing and order of qualified domestic relations orders. Publication date March 8, 2007
Link to Story
Spring Introduction Possible for Bill Making Technical Corrections to PPA
The House Education and Labor Committee may hold hearings in March
on a technical corrections bill, while the Senate Finance Committee
may consider such a bill in the Spring, aides told BNA Feb. 28. Publication date March 2, 2007
Link to Story
PBGC Proposes New 'Termination Premium,' Changes in Flat, Variable Premium Rates
The Pension Benefit Guaranty Corporation released Feb. 16 a
proposed rule that would create a new “termination
premium,” change the flat premium rate, and cap the variable
rate premium in some cases. Publication date February 21, 2007
Link to Story
DOL Says PPA Doesn't Nullify Guidance Provided on Prior Investment Advice
Provisions of the Pension Protection Act of 2006 do not invalidate
or otherwise affect prior guidance relating to investment advice, the
Labor Department said in Field Assistance Bulletin No. 2007-01,
released Feb. 2. Publication date February 6, 2007
Link to Story
EBSA Official Says the Agency is Working Aggressively on PPA and Regulatory Agenda
The Department of Labor's Employee Benefits Security Administration
is working aggressively on its statutory requirements under the
Pension Protection Act of 2006 and on its regulatory agenda, an EBSA
official said Jan. 26. Publication date January 30, 2007
Link to Story
Labor Department Still Considering Best Way to Issue PPA Guidance, Senior Official Says
LOS ANGELES--Given a relatively tight deadline, the Department of
Labor has not yet decided whether to put out proposed regulations or
proceed directly to final regulations for the significant changes the
Pension Protection Act of 2006 made to rules governing the individual
benefit statements that retirement plans send to participants, a
senior department official said Jan. 26. Publication date January 30, 2007
Link to Story
IRS to Offer Amendment Cycle Choice to Parent-Subsidiary Controlled Groups
LOS ANGELES--The Internal Revenue Service is expected to update its
procedure on the determination letter program to ease concerns of
parent-subsidiary controlled groups, Martin L. Pippins, manager,
technical guidance and quality assurance in the Employee Plans
Division, said Jan. 24. Publication date January 30, 2007
Link to Story
PPA Changes Will Not 'Necessarily' Lead to Higher Contract Costs, DOD Says
Although the Pension Protection Act of 2006 will require many
federal contractors to significantly change the funding of their
defined benefit pension plans, “such funding changes will not
necessarily result in increased costs on negotiated contracts,”
according to Defense Department internal guidance. Publication date January 25, 2007
Link to Story
PPA 'Grab Bag' Notice Provided Guidance, Relief for Addressing Affected Distributions
HOLLYWOOD, Fla.--Treasury actuary Harlan Weller directed
practitioners attention Jan. 19 to several issues related to defined
benefit plans that were included in recently released Notice
2007-7. Publication date January 24, 2007
Link to Story
Pension Act Changes Will Not 'Necessarily' Lead to Increased Contract Costs, DOD Says
Although the Pension Protection Act of 2006 (PPA) will require many
federal contractors to significantly change the funding of their
defined benefit pension plans, “such funding changes will not
necessarily result in increased costs on negotiated contracts,”
according to recent Defense Department internal guidance. Publication date January 24, 2007
Link to Story
IRS Employee Plans Official Says Guidance, Service, Enforcement Among 2007 Priorities
HOLLYWOOD, Fla.--The focus of the Internal Revenue Service's
Employee Plans Division in the coming year will be on enhancing the
quality of customer service, releasing additional guidance relating to
provisions enacted in the Pension Protection Act, and cooperating with
IRS enforcement officials in an effort to increase plan compliance, an
official said Jan. 19. Publication date January 23, 2007
Link to Story
IRS Highlights Changes for Government Retirees
The Internal Revenue Service Jan. 11 posted to its Web site a
notice highlighting two changes for certain government employee
retirement plans made by the Pension Protection Act of 2006 (Pub. L.
No. 109-280). Publication date January 16, 2007
Link to Story
Treasury and IRS Release PPA-Related Distribution Rules in Question-Answer Format
The Treasury Department and Internal Revenue Service provided
guidance Jan. 10 in the form of questions and answers for sponsors of
tax-qualified retirement plans who were seeking clarity on changes to
plan distribution rules enacted in the Pension Protection Act of 2006
(Notice 2007-7). Publication date January 12, 2007
Link to Story
Major Pension Action Unlikely in First Hours as 110th Congress Begins
With a considerable amount of nonpension legislation expected from
the Democratic leadership within the first 100 hours of the new
Congress, action on pensions is expected to be limited to oversight
and a technical corrections bill to the 2006 pension reform law. Publication date January 11, 2007
Link to Story
DOL's EBSA Must Produce 25 Regulations in 2007 Due to PPA, Official Says
The Pension Protection Act of 2006 (Pub. L. No. 109-280) mandated
that the Department of Labor issue about 25 regulations in 2007.
Therefore, most of the guidance expected from DOL's Employee Benefits
Security Administration is likely to implement the PPA. Publication date January 10, 2007
Link to Story
Plan Funding, Cash Balance Plans to Lead Off Calendar Year 2007 Guidance
Now that Treasury and Internal Revenue Service have released
guidance for notices on diversification rights for plan participants,
as directed by provisions enacted in the Pension Protection Act
(Pub.L. No. 109-280), officials are turning their attention to
regulatory interpretations for plan funding rules and the treatment of
cash balance plans within the first quarter of calendar year 2007.
Issuing related proposed guidance is “going to be a very high
priority of ours,” one official told BNA. Publication date January 10, 2007
Link to Story
CRS Updates Its PPA PBGC Provisions Report
The Congressional Research Service released Dec. 28 a report
updating its summary of the provisions of the Pension Protection Act
that are applicable to the Pension Benefit Guaranty Corporation's
pension insurance program. Publication date January 3, 2007
Link to Story
Treasury, IRS Seek Comments on Guidance on PPA Phased Retirement Rules
The Treasury Department and Internal Revenue Service issued Dec. 22
Notice 2007-8 seeking comments as they consider whether to issue a
proposal relating to in-service distributions from phased retirement
programs under new tax code Section 401(a)(36). Publication date December 28, 2006
Link to Story
DOL Provides General Guidance for PPA Benefit Statement Good Faith Compliance
The Department of Labor's Employee Benefits Security Administration
is providing general temporary guidance concerning “good faith
compliance” with the pension benefit statement provisions of the
Pension Protection Act of 2006, according to Field Assistance Bulletin
No. 2006-03, obtained by BNA Dec. 20. Publication date December 22, 2006
Link to Story
IRS Posts Information, Links to Guidance on Rules Enacted by Pension Protection Act
The Internal Revenue Service posted to its Web site Dec. 19 a page
devoted to guidance for changes enacted under the Pension Protection
Act of 2006 (Pub. L. No. 109-280), signed into law Aug. 17. Publication date December 21, 2006
Link to Story
IRS Highlights Change Made by PPA Affecting Transfers From IRAs to Charity
The Internal Revenue Service highlighted in a Dec. 14 news release
some changes to the tax law that will affect charitable gifts by
individuals and businesses, including direct transfers from some
individual retirement accounts to eligible charitable
organizations. Publication date December 18, 2006
Link to Story
IRS Corrects Form 5500 Instructions, Makes Required Changes
The Internal Revenue Service posted to its Web site Dec. 13 two
notices correcting the instructions for Form 5500, Annual
Return/Report of Employee Benefit Plan, and instructions for Schedule
B, Actuarial Information (Form 5500), noting changes required by the
Pension Protection Act of 2006 (Pub. L. No.109-280).
Link to Story
CRS Updates the PPA PBGC Provisions Report
The Congressional Research Service Dec. 7 released a report
updating its summary of the provisions of the Pension Protection Act
that are applicable to the Pension Benefit Guaranty Corporation's
pension insurance program.
Link to Story
PBGC Agenda Addresses Penalties, Mortality Assumptions, and Payment Matters
The Pension Benefit Guaranty Corporation released Dec. 8 its
semiannual regulatory agenda, addressing rulemakings related to
penalties, mortality assumptions, and payment matters. Publication date December 12, 2006
Link to Story
DOL Releases Proposed Form 5500 Revisions Required by PPA
The Department of Labor's Employee Benefits Security
Administration, along with the Department of Treasury, Internal
Revenue Service, and the Pension Benefit Guaranty Corporation,
released Dec. 8 a notice of supplemental proposed Form 5500 Annual
Return/Report revisions required by the Pension Protection Act of
2006. Publication date December 12, 2006
Link to Story
Pension Protection Act Provides Tax Relief to Purchasers of Long-Term Care Contracts
Changes to the tax code enacted by the Pension Protection Act (Pub.
L. No. 109-280) will provide incentives to purchase long-term care
insurance by providing purchasers with attractive tax benefits,
American Council of Life Insurers Senior Vice President (taxes and
retirement security) Ann Cammack told BNA Dec. 4. Publication date December 12, 2006
Link to Story
Plans Alerted to Impact of PPA Provisions on Pension Financial Reporting Requirements
The Pension Protection Act will generate several financial
reporting consequences for companies that sponsor defined benefit
pension plans, according to an accounting alert published by Deloitte
& Touche L.L.P. Dec. 4. Publication date December 7, 2006
Link to Story
DOL Releases Model Notice for Multiemployer Plan PPA Election
The Department of Labor released Nov. 30 a model notice which may
be used by employee benefit plans that elect to be treated as
multiemployer plans under the Employee Retirement Income Security
Act. Publication date December 4, 2006
Link to Story
Year-End Regulations Expected to Include Diversification Notice Relief
Upcoming guidance is expected in December on executive compensation
and provisions enacted in the Pension Protection Act, including timing
relief on requirements for diversification notices, an Internal
Revenue Service official confirmed to BNA Nov. 28. Publication date November 30, 2006
Link to Story
Agency Asks OMB to Renew Notice Despite Notice Provision's Repeal by PPA
The Pension Benefit Guaranty Corporation published Nov. 24 a
request to the Office of Management and Budget to renew the
information collection related to a notice to participants of pension
plans, under Employee Retirement Income Security Act Section 4011,
despite the repeal of Section 4011 by the Pension Protection Act of
2006. Publication date November 29, 2006
Link to Story
State Adopts Tax Exclusion for IRA Distributions to Charities
BOSTON--Massachusetts has adopted for personal income tax purposes
the federal exclusion for individual retirement account distributions
to qualifying charities, the state tax agency said in a technical
information release published Nov. 17. Publication date November 28, 2006
Link to Story
IRS Releases Procedures for Airlines Opting for Alternative Deficit Reduction
The Internal Revenue Service issued Nov. 21 Notice 2006-105
providing procedures for making alternative deficit reduction
contribution elections under tax code Section 412(l)(12) for eligible
airline sponsors of employee pension plans, as allowed under the
Pension Protection Act. Publication date November 27, 2006
Link to Story
DOL to Request Computer Model Feedback on Providing Investment Advice Under PPA
The Labor Department will be requesting information from the
benefits community on computer models for the provision of investment
advice to retirement plan participants, as provided by the Pension
Protection Act of 2006, an official said Nov. 17. Publication date November 21, 2006
Link to Story
EBSA Official Addresses Comments Involving Default Investment Alternatives
Proposed regulations on default investment alternatives under
participant directed individual account plans would offer plan
fiduciaries new relief from liability for plan losses, Labor
Department official Erin Sweeney told a District of Columbia Bar
meeting Nov. 15. Publication date November 20, 2006
Link to Story
Commenters Seek Clarification of Rule on Default Investment Notice and Fees
Commenters expressed concern and sought clarification of the Labor
Department's proposed rule on automatic enrollment and default
investments of tax code Section 401(k) funds, according to a BNA
review of filed comments Nov. 16. Publication date November 20, 2006
Link to Story
Congress Begins Regrouping for New Session With Eye to Retirement, Benefits Policy
The Democratic congress may revisit the transition issues of the
Pension Protection Act of 2006, while fighting Social Security
individual account proposals, members of Congress told BNA Nov.
13. Publication date November 16, 2006
Link to Story
Official Says PPA Exclusion for IRA Donation Raises Question of Treatment for Pledges
LOS ANGELES--The Pension Protection Act’s exclusion of up to
$100,000 from income for withdrawals from individual retirement
accounts (IRAs) for charitable donations is technically distinct from
charitable deductions allowed elsewhere in the Internal Revenue Code,
and so raises the question of whether the exclusion applies to
charitable pledges, a Treasury Department official said Nov. 16. Publication date November 20, 2006
Link to Story
Tax and Pension Officials Review Timelines for Action on Regulations
Tax and pension officials reviewed Nov. 9 timelines for action on
various pending regulations, some of which were promulgated under the
Pension Protection Act. Publication date November 14, 2006
Link to Story
Practitioners, Groups Predict Policy Shift in 110th Congress From Retirement to Health Care
The employee benefits agenda is likely to trend away from pensions
and individual Social Security accounts under Democrat leadership in
the 110th Congress, and move toward a greater focus on health care
policy, practitioners and benefits group representatives told BNA
during separate interviews on the results of the Nov. 7 midterm
elections. Publication date November 13, 2006
Link to Story
PPA Is 'Driving Force' on EBSA Agenda, Including Automatic Enrollment, Official Says
The Pension Protection Act is the “driving force” on
the agenda of the Labor Department's Employee Benefits Security
Administration, including action on the proposed rule for automatic
enrollment/default investment, Acting Assistant Secretary Bradford
Campbell said Nov. 8. Publication date November 13, 2006
Link to Story
Group Recommends Revisiting Plan Asset Regulations to Provide Additional Guidance
A Labor Department ERISA Advisory Council working group recommended
in its final report to the Secretary of Labor Nov. 7 that in view of
the passage of the Pension Protection Act, now is a “good
opportunity” for the department to revisit plan asset
regulations and to provide additional guidance to alleviate
“existing confusion.” Publication date November 9, 2006
Link to Story
IRS Announces Procedures for Switching to Public Charity Classification Under PPA
The Internal Revenue Service explained Nov. 7 in Announcement
2006-93 new procedures for public charities to switch their tax
classification in light of new, more restrictive rules in the Pension
Protection Act of 2006 (Pub. L. No. 109-280). Publication date November 9, 2006
Link to Story
Consulting Group Provides End-of-Year Checklist for Employers
Aon Consulting Inc. released Oct. 26 a checklist of general
administrative and planning issues that may need attention by yearend,
along with legislative or regulatory developments for employee plan
sponsors, in an Alert. Publication date November 2, 2006
Link to Story
PPA Provides Many Planning Opportunities, Executive Says
NEW YORK--The Pension Protection Act of 2006 (Pub. L. No. 109-280)
provides a series of new planning opportunities for individuals, but
toughens the tax laws for charitable donations, a financial executive
told reporters at a briefing hosted by the New York Society of
Certified Public Accountants Oct. 31. Publication date November 2, 2006
Link to Story
Employer Group Provides Listing of Requests for PPA Corrections, Guidance
The American Benefits Council has compiled suggestions for
technical corrections and requests for administrative guidance related
to single-employer plan funding and hybrid plan provisions of the
Pension Protection Act, in a list dated Oct. 25 and obtained by BNA
Oct. 30. Publication date November 1, 2006
Link to Story
Pension Professionals Query IRS Officials on Technical Issues for Guidance, PPA
Internal Revenue Service officials discussed plan examination
issues and plan amendments on vesting during a conference sponsored by
the American Society of Pension Professionals and Actuaries on Oct.
25. Publication date October 27, 2006
Link to Story
ASPPA Says It Will Ask DOL for 'Realistic' PPA Rules on Retirement Plans
Officials of the American Society of Pension Professionals and
Actuaries will meet Oct. 23 with Labor Department representatives to
ask for “realistic” defined contribution plan regulations
associated with the Pension Protection Act, Brian H. Graff, ASPPA
executive director and chief executive officer, said Oct. 18. Publication date October 20, 2006
Link to Story
Defined Benefit Contributions May Rise Due to the PPA's Passage
Two-thirds of survey respondents expect that the Pension Protection
Act will result in higher levels of required defined benefit pension
plan contributions for their organizations, but it will not have a
major impact on the movement away from defined benefit plans,
according to a Towers Perrin survey report provided to BNA Oct.
17.
Link to Story
Capital Markets Commission Formulates Ideas to Change U.S. Retirement System
Concerned that the retirement security of millions of Americans and
the health of U.S. capital markets may be at risk, an independent
commission is investigating ways to alleviate investment funding
shortfalls stemming from the retirement plan community's shift away
from defined benefit plans, public plan investment manager Peter
Gilbert told BNA Sept. 29.
Link to Story
Comptroller General Walker Calls PPA Important Reform With Unfinished Business
Comptroller General David M. Walker gave a presentation Oct. 10
contending that the Pension Protection Act was an important reform but
left some unfinished business, including further closing of funding
loopholes and the growing deficit of the Pension Benefit Guaranty
Corporation. Publication date October 13, 2006
Link to Story
IRS, Treasury Officials Detail Actions on Upcoming Fiscal Year Guidance, PPA
In addition to guidance already in process as the new fiscal year
begins, Treasury Department and Internal Revenue Service officials now
are prioritizing guidance enacted under the Pension Protection Act,
officials said at an Oct. 6 conference sponsored by the American Law
Institute and the American Bar Association. Publication date October 11, 2006
Link to Story
Current Rules Adequate for PPA Implications for Defined Benefit Plan Funding, FASB Says
NORWALK, Conn.--The Financial Accounting Standards Board said Oct.
4 it would not issue any additional disclosure guidance on the funding
requirements for defined benefit pension plans enacted under the
Pension Protection Act of 2006 (Pub. L. No. 109-280). Publication date October 6, 2006
Link to Story
CRS Report Summarizes Provisions of PPA Title IV on PBGC Program
The Congressional Research Service released a report Oct. 2
summarizing the provisions of the Pension Protection Act (PPA) that
are applicable to the Pension Benefit Guaranty Corporation's pension
insurance program. Publication date October 5, 2006
Link to Story
Provision of Investment Advice Hinges on PPA Requirements, CRS Report Says
The Employee Retirement Income Security Act, as amended by the
Pension Protection Act (PPA) “would seem to allow” for the
provision of investment advice, but only if it is provided using an
“eligible investment advice arrangement,” a Congressional
Research Report released Oct. 2 said. Publication date October 5, 2006
Link to Story
IRS Issues Transitional Relief, Guidance for Plans Held By Indian Tribal Governments
Pending the issuance of further guidance, the Internal Revenue
Service Oct. 2 in Notice 2006-89 summarized changes in the Pension
Protection Act of 2006 that clarified the treatment of employee plans
maintained by Indian tribal governments (ITGs). Publication date October 4, 2006
Link to Story
Practitioners Seek Clarifications of Automatic Enrollment Proposal
Practitioners told BNA Sept. 28 that the Labor Department's
automatic enrollment and default investment proposal is timely but
expressed some concerns with the proposed rule and asked for
clarifications. Publication date October 4, 2006
Link to Story
EBSA Proposes Rule on Default Investments for Automatic Enrollment in 401(k) Plans
The Labor Department's Employee Benefits Security Administration
Sept. 26 released its first major proposed regulation to implement
provisions of the Pension Protection Act (Pub. L. No. 109-280)--rules
that would make it easier for fiduciaries of tax code Section 401(k)
plans and other participant-directed defined contribution plans to
adopt automatic enrollment and default investment plan design
features. Publication date September 28, 2006
Link to Story
Practitioners Discuss Complying With PPA; Recordkeeping, Fiduciary Requirements Key
Practitioners at a District of Columbia Bar Association meeting
Sept. 26 discussed recordkeeping and fiduciary changes that will
result from the Pension Protection Act. Publication date September 28, 2006
Link to Story
Practitioners Seek Guidance on PPA in Lieu of Technical Corrections Bill
During a Sept. 21 teleconference discussing defined contribution
provisions in the Pension Protection Act, practitioners said that time
is running out for all but a post-election technical corrections bill
and suggested that clarification of some anomalies in the bill might
be mitigated with interim guidance. Publication date September 25, 2006
Link to Story
PBGC's Priorities Include Missing Participants and Interest on Overpayment of Premiums
The Pension Benefit Guaranty Corporation will issue regulations on
the expanded missing participants program and on paying interest on
premium overpayment refunds, Vincent K. Snowbarger, acting PBGC
director, told BNA Sept. 19. Publication date September 22, 2006
Link to Story
Guidance Due on Hybrid Plan Conversions to Ease Determination Letter Moratorium
Internal Revenue Service and Treasury officials are taking a
two-pronged approach for implementing the Pension Protection Act's
clarification on hybrid plans, and releasing certain hybrid plans that
have lingered in the determination letter program, according to
comments a Treasury official made during a Sept. 14 American Bar
Association webcast. Publication date September 20, 2006
Link to Story
Practitioner Cites 'Incredible Typo' in Provision of Pension Protection Act
A practitioner pointed out what she called “an incredible
typo” in a provision of Section 420 of the Pension Protection
Act, relating to the transfer of excess pension assets, during a tax
and accounting audioconference sponsored by BNA Sept. 12. Publication date September 14, 2006
Link to Story
Technical Corrections Pension Bill May Not Get Done This Year, Staff Says
A technical corrections bill to the Pension Protection Act of 2006
may not get done this year, Judy A. Miller, minority pension staff
member with the Senate Finance Committee, said Sept. 12, speaking on
her own behalf, Publication date September 14, 2006
Link to Story
Guidance Provided for PPA Airline Relief Instructs on Alternative Funding Schedules
The Internal Revenue Service Sept. 14 outlined in Announcement
2006-70 procedures for electing alternative funding schedules for
employer plans sponsored by either commercial airlines, or businesses
that provide catering services to airlines. Publication date September 18, 2006
Link to Story
Best Bet for Technical Correction Likely to Be During Lame Duck Session
Speaking on his own behalf at a Sept. 9 panel on retirement policy,
John O'Neill, a tax counsel on the Senate Finance Committee, predicted
that any technical correction legislation for provisions enacted in
the Pension Protection Act is more likely if Congress returns for a
lame duck session after the November midterm elections. Publication date September 13, 2006
Link to Story
IRS, Treasury Officials Continue Guidance While Adding in PPA Regulations to Plan
Enactment of the Pension Protection Act no doubt will add a lot
more items to the 18 that officials are committed to completing from
the Internal Revenue Service Employee Plan Division's guidance plan,
Martin L. Pippins, IRS manager of technical guidance and quality
assurance, said Sept. 9. Publication date September 13, 2006
Link to Story
Speakers Discuss PPA's Impact on Tax-Exempt, Governmental Plans
Speakers at an American Law Institute and American Bar Association
conference briefed practitioners Sept. 8 on the impact that provisions
enacted in the Pension Protection Act will have on tax-exempt and
governmental plans. Publication date September 12, 2006
Link to Story
BNA Sponsoring Sept. 12 PPA Audioconference
BNA's Tax Management is sponsoring a teleconference on the Pension
Protection Act Sept. 12 from 12:30 p.m. to 2 p.m. EST. Publication date September 7, 2006
Link to Story
Agency Issues Technical Updates, Reporting Deadline Relief Related to PPA
The Pension Benefit Guaranty Corporation issued Aug. 31 Technical
Update 06-3, which explains how to determine whether a 2006
Participant Notice is required under Employee Retirement Income
Security Act Section 4011, taking into account the provisions of the
Pension Protection Act of 2006, and the information required to be
disclosed in a 2006 participant notice. Publication date September 6, 2006
Link to Story
Guidance Due for Funding Relief for Bankrupt Airlines Coming Shortly
Guidance is due “very shortly” on how eligible sponsors
should file for special funding relief for the employee plans of
commercial airlines, which was enacted under the Pension Protection
Act, an Internal Revenue official said Aug. 30. Publication date September 1, 2006
Link to Story
DuPont Shift to Defined Contribution Plan Consistent With Trends
The DuPont Company's recent announcement that it is shifting
retirement benefits toward defined contribution pension plans is
consistent with current employer-provided pension plan trends, which
will be accelerated by the new Pension Protection Act, practitioners
told BNA Aug. 30. Publication date September 1, 2006
Link to Story
PPA May Help Multiemployer Plan Funding Positions, Segal Says
The Pension Protection Act may help improve the funded position of
multiemployer pension plans, whose average withdrawal liability funded
ratios have declined steadily in recent years, the Segal Co. told BNA
Aug. 28. Publication date August 30, 2006
Link to Story
PPA, Recent Court Ruling, Doom Age-Bias Suits, Practitioners Say
The newly enacted pension law in combination with a recent ruling
from a federal appeals court on hybrid pension plans has all but
eliminated plaintiffs' ability to prevail in age discrimination
lawsuits when their employers change their defined benefit pension
plans, according to pension professionals and advocates interviewed by
BNA. Publication date August 30, 2006
Link to Story
PPA COLI Provisions Could Reduce Policies Issued, Firm Says
Provisions on corporate-owned life insurance (COLI) policies
included in the Pension Protection Act of 2006 (Pub. L. No. 109-280)
are not unduly onerous, although they could reduce the number of
policies issued because of new restrictions on who can be insured,
attorneys from the Atlanta law firm of Alston & Bird said in an
Aug. 24 advisory. Publication date August 30, 2006
Link to Story
PPA Promises New Rules to Clarify QDRO Status, Timing
The Pension Protection Act of 2006 promises needed guidance as to
how to treat a qualified domestic relations order when a subsequent
QDRO modifies it. Publication date August 29, 2006
Link to Story
Plan Participation Rate Remains Flat, Though PPA May Raise It
While research confirms that private pension plan participation has
remained flat since at least 1991, the recently enacted Pension
Protection Act's automatic enrollment provision may help increase
participation, Geoffrey Sanzenbacher of the Center for Retirement
Research (CRR) at Boston College, told BNA Aug. 23. Publication date August 24, 2006
Link to Story
IRS Provides Guidance on Modifications to Funding Calculations
The Internal Revenue Service Aug. 18, in Notice 2006-75, provided
composite corporate bond rates necessary for computing pension plan
funding requirements under the newly enacted Pension Protection Act of
2006 (Pub. L. No. 109-280). Publication date August 24, 2006
Link to Story
PPA Tightens Executive Pay Funding Rules, Affects Rabbi Trusts
The newly enacted Pension Protection Act of 2006 raises questions
on how the term “at risk” applies to restrictions on
funding nonqualified deferred compensation plans, with the result that
employers may have to review and amend their rabbi trusts to protect
against inadvertent noncompliance, attorneys told BNA. Publication date August 24, 2006
Link to Story
PPA Requires Plans to Provide More Funding, Benefits Disclosure
The Pension Protection Act of 2006 (H.R. 4), signed by President
Bush Aug. 17, added an array of new notices and other forms of
disclosure that will increase the amount of information pension plan
participants receive about their plans. Publication date August 24, 2006
Link to Story
PPA Has Incentives for Annuities, Long-Term Care Insurance
The Pension Protection Act of 2006 (H.R. 4), signed into law on
Aug. 17, will help make long-term care insurance more attractive to
consumers and will make annuities available to more retirees in the
future, according to the American Council of Life Insurers. Publication date August 24, 2006
Link to Story
PPA Provides Financial Protections to Same-Sex Couples
The Human Rights Campaign said Aug. 17 that the Pension Protection
Act of 2006 provides two important financial protections to same-sex
couples and other Americans who leave their retirement savings to
nonspouse beneficiaries. Publication date August 24, 2006
Link to Story
President Bush Signs Pension Protection Act
President Bush Aug. 17 signed into law the Pension Protection Act
(H.R. 4), proclaiming it “the most sweeping reform of America's
pension laws in over 30 years.” Publication date August 18, 2006
Link to Story
PPA Targets Executive Pay Practices
Executive compensation practices are addressed in two sections of
the Pension Protection Act of 2006. Section 116 of the act amends tax
code Section 409A to restrict funding of nonqualified deferred
compensation trusts and other arrangements by employers that maintain
“at risk” single employer defined benefit pension
plans. Publication date August 18, 2006
Link to Story
PPA Endorses IRS's EPCRS Program
In addition to its more sweeping changes to employee benefit plan
funding, investment, and qualification rules, the Pension Protection
Act of 2006 is also notable for containing the first legislative
endorsement of the Internal Revenue Service's voluntary compliance
program, the Employee Plans Compliance Resolution System. Publication date August 18, 2006
Link to Story
Practitioners Emphasize PPA Provisions on PBGC Small Plan Premiums
Practitioners told BNA Aug. 17, the day the president signed the
Pension Protection Act, that they agreed about the need to carefully
read the provision of PPA that concerns the Pension Benefit Guaranty
Corporation's premiums for small plans. Publication date August 18, 2006
Link to Story
PPA Investment Advice Provisions Offer Challenges, Experts Say
The investment advice provisions of the Pension Protection Act of
2006, which President Bush signed Aug. 17, offer a safe harbor for
employers who are concerned about fiduciary liability by allowing
third-party investment advisers to provide advice to plan
participants, David Certner, legislative policy director for AARP,
told BNA Aug. 17. Publication date August 18, 2006
Link to Story
Defined Contribution Plans Expected to Adopt Automatic Enrollment
Defined contribution plan sponsors will adopt the automatic
enrollment provisions of the Pension Protection Act (H.R. 4) for their
plans, organizations that represent employers with over 100 million
pension plan participants told BNA Aug. 16. Publication date August 18, 2006
Link to Story
CBO Lowers Expected PBGC Premiums Estimates Under PPA
Using newly obtained information, the Congressional Budget Office
on Aug. 16 estimated that the amount of termination premiums collected
by the Pension Benefit Guaranty Corporation and savings from
legislative reforms will be less under H.R. 4 during the periods 2007
to 2016 than previously predicted. Publication date August 18, 2006
Link to Story
PPA Creates Diversification Rights for Plans With Employer Stock
Participants in certain defined contribution plans will have
greater diversification rights under the Pension Protection Act of
2006 (H.R. 4) with respect to money they invest in employer stock, so
long as the stock is publicly-traded. Publication date August 18, 2006
Link to Story
Cross Trades Statutory Exemption Is 'Straightforward,' Official Says
The statutory exemption in the Pension Protection Act (H.R. 4) for
cross trades in securities between pension plans governed by the
Employee Retirement Income Security Act is “pretty
straightforward,” a Labor Department official said Aug. 11. Publication date August 18, 2006
Link to Story
DOL 'Up to the Task' of Meeting PPA Requirements, Official Says
The Department of Labor's Employee Benefits Security Administration
is “up to the task” of meeting the requirements of the
Pension Protection Act (H.R. 4), Bradford Campbell, deputy assistant
secretary for policy at EBSA, said Aug. 10. Publication date August 18, 2006
Link to Story
|
|
|
|