Benefits Forward

Remedial Amendment Cycle Extended for Governmental Plans

Friday, August 14th, 2009 | administrator

Revenue Procedure 2009-36 modifies Revenue Procedure 2007-44 to extend the remedial amendment period for governmental plans.

Document Excerpt

.01 This revenue procedure modifies Rev. Proc. 2007-44, 2007-2 C.B. 54, to provide that a remedial amendment cycle with respect to a governmental plan within the meaning of § 414(d) of the Code (“governmental plan”) will not end before the expiration of the 91st

day after the close of the first legislative session that begins more than 120 days after a determination letter is issued for the plan (or after the occurrence of certain other events relating to a determination letter application), provided that the application for the determination letter was timely submitted to the Service.

.02 This revenue procedure also modifies Rev. Proc. 2007-44 to provide that the sponsor of an individually designed governmental plan may elect Cycle E (instead of Cycle C) as the initial (EGTRRA) remedial amendment cycle for the plan. This change (which was announced in the November 5, 2008,

Special Edition of the EP News http://www.irs.gov/pub/irs-tege/se1108.pdf is a one-time modification that does not apply in determining a plan’s remedial amendment cycle after the initial (EGTRRA) cycle.

Link http://www.irs.gov/pub/irs-drop/rp-09-36.pdf

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