Friday, December 9, 2011

IRS Will "Clean Up" 409A

Plans on using 457A regs to clean up 409A. Click Here.

According to Sherman & Patterson:

"A key IRS attor­ney said last week that the § 457(f) reg­u­la­tions will be used as a vehi­cle to do some § 409A “clean-up.” He also referred to the ini­tial guid­ance being pro­posed rules. These com­ments seem to indi­cate that the reg­u­la­tions are mov­ing for­ward, are broader than orig­i­nally thought, and have a bet­ter chance of receiv­ing ear­lier rather than later atten­tion. The indi­ca­tion that they will come out in pro­posed form is pos­i­tive news as it will not only give a chance for com­ment, but a longer period for eas­ing into the new rules."