Restate at Termination

[Guest sommerjo]

DB plan on a volume submitter, terminating effective June 1, 2010. The Rev. Proc. (2010-6) indicates that restatement is not necessary in every circumstance, but that plans must be amended to comply with all applicable laws up to date of termination. Volume Submitter sponsor has received letter and can go ahead with restatements by April 30, 2012.

Prior to May 1 it seemed that restatement would not be necessary and we could simply amend for interim law changes. However now that May 1 has passed, are we now required to restate?

[Mike Preston]

If you do not submit for a Letter of Determination, I don't think there is a requirement to restate (although, one can argue that it is penny wise and pound foolish not to). If the IRS follows past practice, now that the Volume documents are available, they will require restatements when processing a Letter of Determination request.