IRS issues voluntary compliance program for s. 403(b) plans and proposed audit guidelines for use by field staff

Article Abstract:

The IRS has established a voluntary compliance program for tax-exempt organizations offering IRC section 403(b) plans that possess certain defects. The program is a response to high levels of non-compliance found when auditing hospitals and educational organizations. The plans are given the opportunity to come into compliance with losing qualified status, but excise taxes are not waived. The types of defects eligible for correction include distribution, nondiscrimination, excess contribution and salary reduction agreement defects. Operational, asset misuse and diversion, ineligible employee participation and egregious defects are not eligible,

Standards, Taxation, Tax auditing, Tax audits

---

Limits on contributions to 403(b) programs: a review after the issuance of the examination guidelines and the opening of the TVC Program

Article Abstract:

Hospitals, universities, schools and other tax-exempt organizations should review the contribution limits placed on IRC section 403(b) annuity plans in light of IRS efforts to increase scrutiny of these plans. These organizations have been targeted under the Coordinated Examination Program. The three primary limitations on contributions to 403(b) plans are the employee salary reduction elective deferral limit and the exclusion allowance and annual addition limits, applicable to both employer and employee contributions.

Annuities

---

IRS extends effective date of nondiscrimination rules for government plans and tax-exempt organizations

Article Abstract:

The effective dates for certain qualified plan nondiscrimination provisions have been extended for tax-exempt organizations and governments under IRS Announcement 95-48. The effective dates for tax-exempt organizations have been moved from the beginning of 1996 to the beginning of 1997 for most of the relevant nondiscrimination regulations. Some provisions applicable to government entities will not be effective until 1996 or as late as 1999. Until the effective date, government plans are presumed to be in compliance.

Public employees, Government employees

Similar abstracts:

• Abstracts: IRS issues guidance and regulations on deadlines for amending plans for certain changes in the law. IRS issues temporary guidance on issuance of determination letters
• Abstracts: Split decisions on citations; judges consider pros and cons of ABA proposal for universal system. A six-month burden on right to trial? Appeal may decide whether sentence can be hiked for failure to plead guilty
• Abstracts: Directory of law firm pro bono programs. Directory of law firm pro bono activities
• Abstracts: No qualifying period for transfer dismissal claim. Male part-timer entitled to disapply qualifying hours thresholds
• Abstracts: Recent SEC enforcement actions enhance efforts to narrow gap between municipal and corporate disclosure obligations

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.