Terminating a SIMPLE 401k

[MarZDoates]

Does a SIMPLE 401k that is being terminated need to be amended for PPA?

[Gary Lesser]

It would be best to discuss this with the document provider. The termination may have no effect until the plan year is over.

You may wish to see the following:

1. Update on Interim Amendments and EGTRRA Restatements 10/09/2007

Excerpt: The purpose of this article is to provide you with an update on (1) interim amendments that may be required in the near future, (2) the EGTRRA restatement process, and (3) the implementation of certain PPA provisions.

http://benefitslink.com/links/20071009-056474.html

2. IRS Adjusts Determination Letter Application Cycles 06/14/2007

Excerpt: The Internal Revenue Service (IRS) has issued Revenue Procedure 2007-44, which modifies plan amendment and determination letter application cycles for plans to accommodate provisions in the Pension Protection Act of 2006 (PPA) including permanency of the Economic Growth Tax Relief and Reconciliation Act (EGTRRA).

http://benefitslink.com/links/20070614-053627.html

[MarZDoates]

Will do. Thank you!