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May 09, 2008
Guidance Issued for Single-Employer DB Plans
Employers sponsoring single-employer defined benefit plans may be interested in new guidance from the Treasury Department and the Internal Revenue Service related to the new funding rules enacted as part of the Pension Protection Act of 2006.

The Treasury and IRS recently issued a fourth set of proposed regulations [REG-108508-08], outlining information to help plan sponsors determine the contribution requirements that apply to their defined benefit plan under the new funding rules.

Although the proposed regulations are effective for plan years beginning on or after January 1, 2009, the Treasury Department said plan sponsors can rely on the proposed regulations for plan years beginning in 2008.

The IRS is accepting written or electronic comments on the most recent proposed regulations through July 14, 2008. A public hearing is scheduled for August 4, 2008.

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