exec-compsm
legal services in the areas of executive compensation and employee benefits
Law Offices of J. Edward
Shillingburg
Footnotes to Fall 1997 Stetson
Law Review Article
* Law Offices of J. Edward Shillingburg, Newark, New Jersey (http://www.execcomp.com).
Mr. Shillingburg is admitted to practice in New Jersey, New York, and the
District of Columbia. Formerly, he headed the ERISA practice group of Lord
Day &Lord, Barrett Smith, in New York, and served as of counsel to
Morgan, Lewis & Bockius, in New York.
1. In this Article, state and local government units, while
tax-exempt under § 115 of the Code, will be discussed separately from
organizations that are exempt from tax under § 501(c).
2. See I.R.C. § 401(k)(4)(B), amended by Small Business
Job Protection Act, Pub. L. No. 104-188, § 1426(a), 110 Stat. 1755,
1801 (1996) [hereinafter JOPA]. (All "I.R.C.~ references are to the Internal
Revenue Code of 1986, as amended and as provided in the CCH Sept.30, 1996
edition.)
3. See I.R.C. §§ 403(b), 457(a).
4. See I.R.C. § 401(a). For this purpose, § 401(a)
includes plans organized with trusts and plans organized under group annuity
contracts and custodial mutual fund agreements. See I.R.C. §§
401(aY, 401(f), 404(a)(2).
5. See generally 6 JACOB MARTENS, JR., THE LAW OF FEDERAL
INCOME TAXATION §
25B.02 (Martin M. Weinstein et al. eds., 1988) (tracing the history
of tax treatment of employee benefit plans).
6. See Rev. Rul. 68-89, 1968-1 C.B. 402; Rev. Rul. 63-180,
1963-2 C.B. 189; Rev. Rul. 56-497, 1956-2 C.B. 284. But see Hicks v. United
States, 205 F. Supp. 343 (W.D. Va. 1962).
7. See, e.g., IRS PLBLICATION 17, at 94 (1995).
8. See Pub. L. No.87-370, § 7448, 75 Stat. 801 (1961);
Technical Amendments Act of 1958, Pub. L. No. 85~866, § 23(a), 72
Stat. 1606, 1620. Deferred tax treatment of annuity contracts purchased
by § 501(cX3) organizations had previously been provided on a less
regLilated basis. See Treas. Reg. § 1.403(b)-1(a) (as amended in 1986).
9. See Rev. Rul. 80-384, 1980-2 C.B. 172 (providing that state
and local governmental units that are the counterparts of § 501(c)(3)
organizations); Rev. Rul. 74-15, 1974-1 C.B. 126 (allowing a county library
to establish a B plan).
10. Compare I.R.C. § 401(a)(3) and (4) (discussing pre-ERISA
coverage and nondiscrimination), with I.R.C. § 403(b) (before the
addition of paragraph (12) in 1986), and Treas. Reg. § 1.403(b)-1(b)
(as amended in 1986).
11. See 'Treas. Reg. § 1.403(b)-1(b)(3); Rev. Rul. 67-69,
1967-1 C.B. 93.
12. See, e.g., IRS PUBLICATION 571, at 1 (1996).
13. See Prop. Treas. Reg. § 1.402(a)-1(i), 37 Fed. Reg.
25938 (1972); see also Prop. Treas. Reg. § 1.61-16, 43 Fed. Beg. 4638,
4639 (1978).
14. See Employee Retirement Income Security Act of 1974, Pub.
L. No. 93-406 § 2006, 88 Stat. 829, 992-93 [hereinafter ERISA].
15. See Revenue Act of 1978, Pub. L. No. 95-600 § 135(a),
92 Stat. 2763, 2785 (adding § 401(k) and (m)).
16. See I.R.C. §§ 401(a)(4), 410(b).
17. See Revenue Act of 1978 § 131(a) (adding § 457).
18. JOPA improved eligible § 457 plans, as discussed
infra text accompanying notes
3183.
19. See I.R.C. § 401(k)(4XB)(ii).
20. See I.R.C. § 401(a); Treas. Reg. § 1.401-1(b)
(1976). The IRS initially took the position that a § 501(c)(3) organization
could not maintain a profit-sharing plan under § 401(a) because it
was barred from distributing profits under the prohibition of inurement
to private persons in § 501(c)(3), but it later interpreted "profit~
to mean an excess of revenues over expenses. See Cen. Couns. Mem. 38,283
(Feb. 15, 1980). The ~rofit" requirement for profit-sharing plans was completely
eliminated in 1988. See Technical and Miscellaneous Revenue Act of 1988,
Pub. L. No.100-647, § 1011(A)~) 102 Stat. 3342, 3468 (adding I.R.C.
§ 401(a)(27)).
21. See Tax Reform Act of 1986, Pub. L. No. 99-514, §
1107(a), 100 Stat. 2085,
22. See ERISA, supra note 14, § 403, 29 U.S.C. §
1104 (1994).
23. See I.R.C. § 457(b)(6). For state and local government
plans, the bar against trusteed E plans was changed in 1996 to require
that they be trusteed. See I.R.C. § 457(g).
24. Government units and churches are exempt from ERISA. See
ERISA, supra note 14, § 4(b)(1~2), 29 U.S.C. § 1003(bX1~2) (1994).
25. Unfunded plans maintained by employers, other than government
units and churches, for a select group of management or highly compensated
employees are exempt from the participation, vesting, funding, trust, and
fiduciary provisions of ERISA. See id.
§§ 201(2), 301(a)(3), 401(a)(1), 29 U.S.C. §§
1051(2), 1081(a)(3), 1101(a)(1) (1994). Such
plans are subject to only a one-time notice to the Department of
Labor in lieu of the normal disclosure and annual reporting requirements.
See Department of Labor Beg., 29 C.F.R. § 2520.104-23 (1997).
26. The 1986 legislation also subjected amounts deferred under
"non-eligible" § 457 plans maintained by tax-exempt organizations
to taxation in the year that the employee's interest was not subject to
a substantial risk of foffeiture. See I.R.C. § 457(f). This was unexpected
and has had a substantial negative impact on compensation arrangements
for executives of tax-exempt organizations.
27. See JOPA, supra note 2, § 1426(a) (amending I.R.C.
§ 401(k)(4)(B)). Such plans must meet the broad-based coverage and
other nondiscrimination rules for qualified plans. See I.R.C. §§
401(a)(4), 410(b).
28. While there are no coverage requirements in § 457(a),
a tax-exempt organization may maintain an unfunded plan only for a select
group of management or highly compensated employees. See supra note 25
and accompanying text.
29. Compare I.R.C. § 457(b), with I.R.C. §§
401(a), 402(c), 402(g)(1).
30. See I.R.C. § 402(g).
31. See I.R.C. § 457(b)(2)(A), (e)(15) (added by JOPA,
supra note 2, § 1447(b)); I.R.C. § 402(g)(1), (4), (5). The IRS
annually issues a notice with the amounts, as adjusted for cost of living,
that apply for the following year. See, e.g., Notice 96-55, 1996-47 I.R.B.
7.
32. See I.R.C. § 457(e)(9) (as amended by JOPA, supra
note 2, § 1447(a)). The amount has been increased to $5000 for years
after 1997. See Taxpayer Relief Act of
1997, Pub. L. No. 105-34, § 1071(a)(l), 111 Stat. 788, 948
(1997) [hereinafter Relief Act].
33. See I.R.C. § 457(g) (added by JOPA, supra note 2,
§ 1448).
34. See I.R.C. §§ 401(k)(4)(B), 4Q3(b).
35. A K plan is regarded as an "employee pension plan" and
thus is subject to all of Title I of ERISA. See ERISA, supra note 14, §
3(2), 29 U.S.C. § 1002(2)(A) (1994).
36. See Department of Labor Beg., 29 C.F.R. § 2510.3-2(f)
(1997); IRS INSTRUCTIONS FOR FORM 5500, at 3 (1996). The conditions of
this exemption should be read carefully. The exemption applies to plans
that (a) have only employee salary-reduction contributions, (b) provide
employees with a choice of funding agent (i.e., the mutual fund fanlily
administrator or insurance company providing the group annuity or custodial
contract), and (c) have minimal employer involvement in the plan. See 29
C.F.R. § 2510.3-2(f).
37. See ERISA, supra note 14, § 3(2), 29 U.S.C. §
1002(2)(A) (1994); Department of Labor Beg., 29 C.F.R. § 2510.3-2(f)
(1997).
38. See IRS INSTRUCTIONS FOR Fo~~ 5500, at 5 (1996).
39. Employee benefit plans with more than 100 participants
are generally required to file a certified financial statement with their
Form 5500 Series reports. See ERISA, supra note 14, § 103(aX3). The
Department of Labor has provided for abbreviated reporting for plans with
less than 100 participants and has waived the certified financial statement
requirement for such plans. See Department of Labor Beg., 29 C.F.R. §§
2520.104-41, 2520.104-46 (1997).
40. See Department of Labor Reg., 29 C.F.R. § 2520.104b-10
(1997) (pr9viding for the distribution to participants of a summary of
the annual report). However, since no financial information is provided
in the plan's Form 5500 Series report, there is no such information to
provide in the summary annual report.
41. See ERISA, supra note 14, §§ 401-414, 501-514,
29 U.S.C. §§ 1101-1114, 1131-
1134 (1994) (stating, respectively, the fiduciary duty and enforcement
provisions); Department of Labor Beg., 29 C.F.R. § 2520.104a-3 (requiring
the summary of plan description); Department of Labor Reg., 29 C.F.R. §
2520.l04-104a-7 (requiring the statement of material modifications). The
benefit insurance and plan termination program administered by the Pension
Benefit Guaranty Corporation does not apply. See ERISA, supra note 14,
§ 4021(bXl), 29 U.S.C. § 1102 (1994).
42. See ERISA, supra note 14, § 404(c), 29 U.S.C. §
1104(c) (1994); Department of Labor Reg., 29 C.F.R. § 2550.40~-1 (1996).
43. See Rev. Proc. 97-6, 1997-1 I.R.B. 153 (describing the
determination letter program). The user fee for a simple individually designed
plan is presently $700. See Rev. Proc. 97-8, 1997-1 I.R.B. 187.
44. See Rev. Proc. 94-62, 1994-2 C.B. 778 (discussing the
Voluntary Co mpliance Resolution Program).
45. See IRS Announcement 93-105, 1993-27 I.R.B. 15
46. See, e.g., Priv. Ltr. Rul. 97-08-021 (Nov.25, 1996).
47. See Rev. Proc. 97-4, 1997-1 I.R.B. 96. The user fee for
a letter ruling is presently $2100. See Rev. Proc. 97-8, 1997-1 I.R.B.
187.
48. See Rev. Proc. 96-29, 1996-16 I.R.B. 24 (Closing Agreement
Program and Voluntary Compliance Program). See generally Rev. Proc. 95-24,
1995-1 C.B. 694.
49. See 60 Fed. Beg. 20,874 (1995).
50. See IRS Announcement 95-33, 1995-19 I.R.B. 14 (discussing
examination guide- lines).
51. See I.R.C. § 401(k)(4)(B) (as amended by JOPA, supra
note 2, § 1443(b)) (expanding B plans to eligible rural cooperatives
and related entities); see also I.R.C. § 401(k)(4)(B) (as amended
by Taxpayer Relief Act of 1997, supra note 32, § 1525) (making certain
mutual irrigation or ditch companies eligible notwithstanding that the
cooperative or ditch company is a governmental unit).
52. See I.R.C. § 403(b)(1)(A).
53. See id. §§ 402(g)(8), 415(c)(4), 4l5(cX7).
54. See id. § 414(eX3)(B)(ii).
55. See id. § 170(bXl)(A)(ii).
56. See id. § 170(b)(1)(AXiii).
57. See Social Security Act, ch. 531, § 1861(o), 49 Stat
620 (1935) (codified at 42 U.S.C. § 1395x(m), (o) (1994)).
58. See I.R.C. §§ 401(a), 401(f), 403(a).
59. See id. § 403(b)(1XA), (b)(7XA), (b)(9).
60. Compare I.R.C. § 403(b)(7)(A), with I.R.C. §
403(bXlo).
61. See 1.R.C. § 403(b)(9)(B).
62. See id. § 410(a)(1)(A).
68. See id. § 410(a)(1XB)(i).
64. See id. § 410(a)(1X2XBXii).
65. See id. § 401(kX2)(D).
66. See id. § 410(aX4)(B).
67. See I.R.C. § 403(b)(12)(AXii).
68. See ERISA, supra note 14, § 202, 29 U.S.C. §
1052 (1994).
69. See JOPA, supra note 2, § 1422(a) (amending I.R.C.
§ 401(a)(26)).
70. The cash or deferred arrangement approved by § 401(k)
iS a feature attached to a defined contribution plan (e.g., profit-sharing
plan, stock bonus plan, pre-ERISA money purchase plan or rural cooperative
plan) that is intended to quah~ under § 401(a). See I.R.C. §
401(kXl). Thus, a K plan that has only salary reduction (e.g., pretax employee)
contributions is the basic K plan. See id. § 401(k)(2). The plan sponsor
may elect to add to the basic plan certain plan features permitted under
§ 401(a), such as a profit-sharing (e.g., employer non-matching) contribution,
an employer contribution conditioned on employee pre-tax or post-tax contributions
(e.g., an employer matching contribution), and employee post-tax contributions.
See Rev. Rul. 69-627, 1969-2 C.B. 92 (permitting employee pre-tax contributions
that are not required to obtain employer- funded benefits); Rev. Rul. 69-421,
1969-2 C.B. 59 (permitting employee pre-tax contributions required as a
condition of employer-funded benefits). Since 1978, employer matching contributions
and employee pre-tax contributions are subject to the limitations in §
401(m).
A broad variety of contributions is allowed for B plans. See,
e.g., Priv. Ltr. Rul.
96-25-043 (June 21, 1996) (voluntary employee salary reduction contributions,
mandatory employee contributions of 5% of pay over $6600 and employer non-matching
contributions of 10% of pay); Priv. Ltr. Rul. 95-41-038 (Oct.13, 1995)
(permitting voluntary employee salary reduction and after-tax contributions
and employer matching contributions based on both types of employee contributions);
Priv. Ltr. Rul. 95-29-0006 (July 21, 1995) (allowing voluntary employee
salary reduction and after-tax contributions, employer matchmg contributions
and employer non-matching contributions).
71. See Treas. Reg. § 1.401(k)-1(a)(3)(i) (as amended
in 1995); Treas. Reg. § 1.403(b)-1(b)(3) (as amended in 1986).
72. Prior to 1997, a B plan participant could not change salary-reduction
contribution rates after the beginning of the year, except to reduce contributions
to zero. See Treas. Reg. § 1.403(b)-1(b)(3) (as amended in 1986).
After 1996, employees may change these rates as they may change K plan
contribution rates. See JOPA, supra note 2, § 1450(a) (amending I.R.C.
§ 402(e)(3)).
73. See I.R.C. § 403(b)(12)(A)(ii); Treas. Reg. §
1.401(k)-1(a)(3)(iv) (as amended in
1995).
74. See I.R.C. § 401(k)(4)(A).
75. See DAVID L. RAISH, COMPENSATION AND BENEFITS OF KEY EMPLOYEES
OF TAX- EXEMPT ORGANIZATIONS § 402 (1995).
76. See I.R.C. § 3121(a)(5)(D), (v) (including, respectively,
B plans and K plans in the definition of wages subject to FICA taxes);
id. § 3306(b)(5XD), (r)(1XA) (including, respectively, B plans and
K plans in the definition of wages subject to FUTA taxes).
77. See id. §§ 3121(a)(5)(A), (D), 3306(b)(5)(A),
(D).
78. See id.
79. See id. §§ 401(a)(7), 401(k)(2)(C), 411(a)(2),
416(b)(1)(A~B).
80. See id.
81. See id.
82. See ERISA, supra note 14, § 203(a), 29 U.S.C. §
1053(a) (1994).
83. See, e.g., Priv. Ltr. Rul. 96-25-043 (June 21, 1996);
Priv. Ltr. Rul. 95-41-038 (Oct.13, 1995); Priv. Ltr. Rul. 95-29-006 (July
21, 1995).
84. Discussed infra Paragraph 17(c).
85. Discussed infra Paragraph 17(b).
86. See I.R.C. § 415(c); Treas. Beg. § 1.403(b~1(b)(2)
(as amended in 1986).
87. See I.R.C. §§ 401(aX4), 410(b).
88. See id. § 403(b)(12) (as added by the Tax Reform
Act of 1986, Pub. L. No.99-
514, § 1120(b), 100 Stat. 2085, 2463~4).
89. See Treas. Reg. § 1.403(b)-1(b)(i), (iii) (as amended
in 1986).
90. See IRS News Release IR-1869 (Aug.10, 1977).
91. See Treas. Reg. § 1.401(a)(4)-13(b) (as amended in
1993); Treas. Reg. § 1.401(k)-
1(h)(4) (as amended in 1995); Treas. Beg. § 1.402(a)-1(d)(3Xv)
(as amended in 1994); IRS Announcement 95-48, 1995-23 I.R.B. 13.
92. See I.R.C. §§ 401(a)(5)(G), 401(k)(3)(G), 403(b)(12)(C),
410(c)(2) (added by Relief Act, supra note 32, § 1505(c)).
93. See I.R.C. § 414(b~c), (m~o); IRS Notice 96-64, 1996
I.R.B. 8; IRS Notice 89-
23, 1989-1 C.B. 654.
94. See Treas. Reg. § 1.401(k)-1(g)(11)(i) (as amended
in 1995); IRS Notice 89-23,
1989-1 C.B. 654.
95. See Treas. Beg. § l.401(k)-1(gX11)(ii~B) (as amended
in 1995); IRS Notice 89-
23, 1989-1 C.B. 654.
96. See I.R.C. § 410(bX1XA~B); Treas. Beg. §§
1.410(b)-2(b)(2), -7(c) (as amended in 1994).
97. See I.R.C. § 410(bXl)(C).
98. See id. § 410(b)(3).
99. See Treas. Reg. § 1.410(b)-3(a)(2)(j) (as amended
in 1993).
100. See id. §§ l.401(a)(4)-1(bX2)(IXB) (as amended
in 1993), 1.401(k)-1(bX2) (as amended in 1995).
101. See JOPA, supra note 2, § 1431(a), 110 Stat. 1755,
1802-03 (1996) (amending
I.R.C. § 4l4(q)).
102 See I.R.C. §§ 401(k)(3)(A)(ii), 401(k)(12),
401(mX2)(A), 401(m)(11)~
103. See id. § 403(b)(12)(A)(ii); IRS Notice 89-23, 1989-1
C.B. 654.
104. See IRS Notice 89-23, 1989-1 C.B. 654.
105. See id.
106. See I.R.C. § 403(b)(12)(A)(ii).
107. See Treas. Reg. §§ 1.410(b)-2(b)(2), -7(c)
(as amended in 1995) (discussed supra Paragraph 12(a)).
108. See Treas. Reg. § 1.401(a)(4)-1(b)(2)(B) (as amended
in 1993); Treas. Reg.
§ l.401(m)-1(b)(1) (as amended in 1995).
109. See Treas. Reg. § l.401(m)-2 (as amended in 1994).
110. See I.R.C. § 403(b)(12); IRS Notice 89-23, 1989-1
C.B. 654.
111. The 2%/200% alternative limitations may be applied to
§ 403(b) plans. See Treas. Reg. § l.401(m)-1 (as amended in 1995);
Treas. Reg. § l.401(m)-2 (as amended in 1994). "For purposes of applying
the regulations under § 401(m), contributions made pursuant to a salary
reduction agreement to a 403(b) annuity plan may not be considered." IRS
Notice 89-23,1989-1 C.B. 654.
112. See Treas. Reg. §§ 1.410(b)-2(b)(2), -7(c)
(as amended in 1994) (discussed supra text accompanying note 94); see also
Appendix B (comparing the contributions permitted for a K plan under the
ADP and ACP tests with those permitted for a B plan under the ACP test
only).
113. See id. § l.401(a)(4)-2(b)(1)~(2) (as amended in
1993).
114. See id. § l.401(a)(4)-2(b)(3).
115. See id. § l.401(a)(4)-2(b)(2)(Ii).
116. See id. § 1.401(a)(4)-2(c).
117. See I.R.C. § 403(b)(12)(A)(i).
118. See IRS Notice 89-23, 1989-1 C.B. 654.
119. See id.
120. See id.
121. See id.
122. See id.
123. See I.R.C. § 402(b)(4XA).
124. See id. § 403(bXl).
125. See id. § 4979(a), (c).
126. See id. § 403(b)(12)(A)(ii).
127. See id. § 401(a)(30).
128. See I°R.C. § 403(b)(1XE).
129. See id. § 4979(d), (e).
130. See id. § 403(b)(12XA)(i).
131. See id. §§ 401(m)(1), 403(b)(1)(D).
132. See id. §§ 401(a)(17), 403(bX12).
133. See I.R.C. §§ 401(aX5), (1), 403(b)(12).
134. See id. §§ 401(a)(10), 416.
135. See id. § 402(g).
136. See id. §§ 403(b), 415(c).
137. See id. § 415(e). This section expires at the end
of 1999 See infra note 177 and accompanying text.
188. See I.R.C. § 402(g)(1), (4), (5); IRS Notice 96-55,
1996-47 I R B 7
139. See I.R.C. §§ 401(a)(30), 402(gX1)~ (3).
140. See supra text accompanying note 53.
141. See id. § 402(g)(8); see also supra note 53 and
accompanying text.
142. See I.R.C. § 415(c).
143. See id.; Treas. Reg. § l.415-6(e)(1) (as amended
in 1994).
144. See JOPA, supra note 2, § 1434 (amending I.R.C.
§ 415(c)(3)).
145. See infra Paragraph 17(d).
146. See I.R.C. § 415(c)(4)(A).
147. See id. § 415(c)(4)(B).
148. See id. § 415(c)(4)(C).
149. See Treas. Beg. § l.415-6(e)(6) (as amended in
1994).
150. See I.R.C. § 415(cX4)(D); Treas. Beg. § l.415-6(eX2)(ii)
(as amended in 1994).
151. See Treas. Reg~ § l.415-6(e)(2)(iii) (as amended
in 1994).
152. See I.R.C. §§ 403(bX2)(D), 415(c)(7)(A).
153. See id. § 415(c)(7).
154. See id. § 401(a)(16).
155. See id. §§ 415(a)(2), 4973(a)(3).
156. See id. § 403(b)(2)(AXi~ii).
157. See I.R.C. § 403(b)(2)(A).
158. See id.
159. See id. § 403(bX4); Treas. Beg. § 1.403(b)-1(f)(1)
(as amended in 1986).
160. See Treas. Beg. § 1.403(b)-1(f)(1), (4)(i) (as amended
in 1986).
161. See id. § 1.403(b)-1(f)(4)(iii).
162. See id. § 1.403(b)-1(f)(5).
163. See id. § l.403(b)-1(f)(5Xi~iv).
164. See id.
165. See I.R.C. §§ 410(a)(5), 411(aX5); Treas. Beg.
§ 1.410(a)-1(bX5) (as amended in
1980); § 1.411(a)-1(b)(6) (1977). For detailed rules on the
determination of years of service, see Department of Labor Reg., 29 C.F.R.
§ 2530.200A-1 to .210 (1997).
166. See I.R.C. § 403(b)(3); Treas. Beg. § 1.403(b)-1(e)
(as amended in 1986).
167. See Treas. Beg. § 1.403(b)-1(e)(3), -1(g) (as amended
in 1986).
168. See Id.
169. See Id.
170. See I.R.C. § 403(bX3) (as
amended by Belief Act, supra note 32, §
1504(aXl)(B)); Treas. Beg. § 1.403(b)-1(e)(1)(ii) (as amended in 1986).
See supra note 82 and accompanying text for the test used to determine
compensation under § 415(c).
171. While these amounts are lower than those permitted under
the § 415(c) limit for a first year participant, see, e.g., supra
note 137 and accompanying text, the limitations will reverse as the participant
has additional years of service and increasing compensation. Thus, the
§ 415(c) limit will become the lower, defining, limit of the two.
172. See I.R.C. § 403(bX2XA)(ii); Treas. Reg. §
1.403(b~1(d)(i~ii) (as amended in 1986).
173. See Treas. Reg. § 1.403(b)-1(d)(3) (as amended in
1986).
174. See id. § 1.403(b)-1(dX4).
175. See supra note 145 and accompanying text.
176. See I.R.C. §§ 403(bX1XAXi~ii), 72.
177. See Id. § 4973(a), (c)(1~2).
178. 1.R.C. § 4l5(e); Treas. Reg. § l.415-7(a)
(1981).
179. I.R.C. § 415(e)(5); Treas. Reg. § 1.415-7(h)
(1981).
180. See JOPA, supra note 2, § 1452(a); Relief Act,
supra note 32, § 1504(b).
181. See I.R.C. §§ 401(k)(2)(B), 403(bXll).
182. See Treas. Beg. § 1.401-1(bXii) (as amended in 1976).
183. See I.R.C. § 403(b)(7)(AXii).
184. See, e.g., Priv. Ltr. Rul. 96-25-043 (June 21, 1996);
Priv. Ltr. Rul. 95-41-038 (Oct.13, 1995); Priv. Ltr. Rul. 95-29-006 (July
21, 1995).
185. See I.R.C. § 72(p); Department of Labor Beg. 29
C.F.R. § 2550.403b-1(aX3) (1997).
186. See I.R.C. § 401(a)(14).
187. See ERISA, supra note 14, § 206(a).
188. See I.R.C. §§ 401(a)(9), 403(b)(10); JOPA,
supra note 2, § 1401(a).
189. See I.R.C. § 411(a)(11XA) (as amended by Belief
Act, supra note 32, § 1071); ERISA, supra note 14, § 203(e) (as
amended by Belief Act, supra note 32, § 1071).
190. See I.R.C. § 402(e).
191. See JOPA, supra note 2, § l401(a).
192. See I.R.C. §§ 401(a)(31), 402(e)(6), 403(b)(10).
193. See I.R.C. §§ 402(c), 403(b)(8), 408(d)(3)(A).
194. Compare Rev. Rul. 90-24, 1990-1 C.B. 97 (providing that
in the transfer of annuity contracts or custodial accounts, it is irrelevant
whether a complete or partial interest is transferred), with Rev. Ral.
67-213, 1967-2 C.B. 149 (providing that no income is realized on a trustee-to-trustee
transfer), and Rev. Rul. 68-160, 1968-1 C.B. 167 (deciding that an annuity
contract transfer from one trustee to another is not a premature distribution).
195. See I.R.C. § 403(bXl)(A) (discussing annuity contracts
purchased for employees); I.R.C. § 403(b)(7) (stating that a custodial
contract shall be treated as an annuity con- tract purchased for the employee);
Treas. Beg. § 1.403(b)-1(b)(4) (as amended in 1986) (illustrating
multiple annuity contacts purchased by the employer for the same employes).
196. See I.R.C. § 408(d)(3)(A).
197. See Id. §§ 401(a)(11), 401(a)(27), 417(a)(1XA).
198. See ERISA~ supra note 14, § 205; Treas. Reg. §
1.401(a)-20, A-3(d) (as amended in 1988).
199. See I.R.C. §§ 72, 402(a), 403(a), 403(b)(1).
200. See Id. § 3405(d).
201. See Id. § 72(t).
202. See id. § 4980A(a), (d), (e)(1)(A), (e)(2)(A),
(e)(2)(C).
208. See Relief Act, supra note 32, § 1073.
204. See I.R.C. § 401(aXl2); ERISA, supra note 14, §
208.
205. See I.R.C. § 401(a)(13), (g); ERISA, supra note
14, § 206(d).
206. See supra note 35 and accompanying text.
207. See supra notes 9~100 and accompanying text.
208. See supra notes 138, 14248 and accompanying text.
209. See I.R.C. § 401(kX4)(B) (as amended by JOPA, supra
note 2, § 1426).
210. See supra notes 91-97 and accompanying text.
211. See supra note 39 and accompanying text.
212. See supra note 39 and accompanying text.
213. See supra note 39 and accompanying text.
214. See supra notes 98100 and accompanying text.
215. See supra notes 98100 and accompanying text.
216. See supra notes 138 and accompanying text.
217. See supra notes 10809 and accompanying text.
218. See supra notes 98100 and accompanying text.
219. See supra notes 98100, 10E~7 and accompanying text.
220. See supra notes 13~1, 153-71 and accompanying text.
221. See supra notes 13~1, 153-71 and accompanying text.
222. See supra notes 9~100.
223. See supra notes 10&4)7 and accompanying text.
224. See supra notes 53-57 and accompanying text.
225. See supra notes 142~5 and accompanying text.
226. See supra notes 142~5 and accompanying text.
227. See supra notes 142~5 and accompanying text.
228. See supra notes 53-57, 138, 14~50 and accompanying text.
229. See supra notes 111, 118 and accompanying text.
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