Close Close
Sign In
Newsletters
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards
Podcast Center Video Center Webcasts Resource Center Events
About ThinkAdvisor Contact Us Advertise With Us Asset & Logo Licensing Sitemap Terms of Service Privacy Policy Copyright © 2024 ALM Global, LLC. All Rights Reserved.
ThinkAdvisor

Regulation and Compliance > Federal Regulation > IRS

IRS Employee Plans Unit May Revamp Pension Determination Letter System

By Staff Writer

X
Your article was successfully shared with the contacts you provided.

NU Online News Service, Aug. 29, 12:15 p.m. – The Employee Plans unit at the Internal Revenue Service says it may replace its current defined benefit pension plan “determination letter” program.

A “determination letter” is a document from the IRS indicating whether IRS officials believe a proposed pension plan qualifies for federal pension plan tax breaks.

The Employee Plans unit reports in the August edition of its newsletter that it is studying the long-term future of the determination letter program and considering alternative.

The article on the long-term studies appears on page 12 of the newsletter, which is available on the Web at http://www.irs.gov/bus_info/ep/current.html

Several other articles in the newsletter, which is aimed at employers and their advisers, also mention concerns that Employee Plans officials have about the determination letter program.

Preston Butcher, IRS director of employee plans examinations, complains in an interview that some of the officials responsible for auditing employee plans also have to handle determination letter duties.

“The shift to determinations hinders the EP examiners’ ability to maintain their examination skills,” Butcher says. “It also reduces overall examination presence.”

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.