The IRS has declared March 31, 2020 as the last day of the remedial amendment period for 403(b) retirement plans.
What is a remedial amendment?
A remedial amendment period is a time frame during which an employer can identify and amend defects in its 403(b) plan document without the IRS issuing penalties. In this context, a defect is the presence or absence of a provision that causes the plan to be uncompliant with the requirements of Section 403(b) of the Internal Revenue Code. 403(b) plan defects can be retroactively corrected to the start date of the remedial amendment period (the later of January 1, 2010 or the plan’s effective date) by either adopting an IRS pre-approved 403(b) plan or amending its written 403(b) plan by March 31, 2020. Employers desiring to make 403(b) plan document corrections after March 31, 2020 may have to do so through the IRS’s Employee Plans Compliance Resolution System, or EPCRS.
If you have any questions, please contact Lori Wagnon at 404-874-6244 or fill out the form below.