EGTRRA Restatement on Terminated plan

[jkharvey]

Plan make a resolution to terminate on 12/1/2008 and distributes all of the assets before 12/31/2008. Can any amendments be made after all the assets have been distributed?

[John Feldt ERPA CPC QPA]

If you are asking about an IRS required amendment, for HEART or otherwise, then only if you submit a Form 5310 will the remedial amendment period continue until the IRS review is over. Otherwise, your RAP ended on the plan termination date.

[Randy Watson]

If you are asking about an IRS required amendment, for HEART or otherwise, then only if you submit a Form 5310 will the remedial amendment period continue until the IRS review is over. Otherwise, your RAP ended on the plan termination date.

What if a plan has an EGTRRA RAP that ends in 2010, but termintes in 2009. Would the EGTRRA restatement be required upon its 2009 termination?

[John Feldt ERPA CPC QPA]

No, not required.

I read Derrin Watson's comments (SunGard) on this topic too. Basically, Derrin states that a plan that terminates and submits the 5310 to the IRS should just adopt any interim required amendments that are needed and send it to the IRS for their review - they'll tell you if any other language is needed or if any changes are required.

However, if a decision is made to NOT submit a 5310 to the IRS, then an EGTRRA restatement (under a pre-approved EGTRRA document) provides you with a D letter for all of the interim amendments up through the Final 401(k) regulations (that's quite a few amendments). Thus the IRS can't pick those apart, they have reliance from the document's letter. They can really only question the language for anything not already covered by the EGTRRA document's letter, like the 415 amendment, the HEART Act amendment, and the WRERA amendment. added upon edit: (or any discretionary employer amendment).