2016 Required Amendments List is a List of One
On December 13, 2016, the Internal Revenue Service ("IRS") issued the 2016 list of required amendments. This list is the first of the promised annual required amendment lists ("RA List") pursuant to Revenue Procedure 2016-37, which ended the cyclical determination letter program for individually designed plans. Notice 2016-80's list consisted of one required amendment for collectively bargained defined benefit plans in connection with restrictions on accelerated distributions from underfunded single-employer plans in employer bankruptcy under Section 436 of the Internal Revenue Code of 1986, as amended.
The IRS noted that the fact that a qualification requirement is included on an RA List does not mean that every plan described requires an amendment. Each plan sponsor, in consultation with its trusted advisors, will need to review its plan in light of the RA List to determine if an amendment is necessary.
Under Revenue Procedure 2016-37, the remedial amendment period for a disqualifying provision in an individually designed plan that results from changed qualification requirements is the last day of the second calendar year after the issuance of the RA List. For calendar year plans, the deadline for this required amendment is December 31, 2018.
Notice 2016-80 will be published in Internal Revenue Bulletin 2016-52 on December 27, 2016.
If you have any questions about this, please contact your Findley Davies consultant.