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IRS Proposes Regulations on New PPA Rules for Cash Balance and Other Hybrid Plans
Mercer
Dec. 28, 2007
Excerpt: The proposal leaves several issues open, pending feedback from the public. The IRS has not exempted any opening balance conversions from the prohibition against wear-away, but solicits input on how such an exemption might be structured. In addition, the proposal offers no specific guidance for pension equity plans (PEPs) but asks for comments on various PEP issues. (The IRS has not yet opened the determination letter process for PEPs.)
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