Retirement plan providers can now fix more administrative errors without jeopardizing their tax breaks courtesy of new rules issued April 19.
Rev. Proc. 2019-19 expands the self-correction powers the tax agency established as part of the Employee Plans Compliance Resolution System (EPCRS). The latest update allows plan providers to swiftly set things straight regarding missed loan payments, failures to secure spousal consent, and lending participants too much money.
Those interested in correcting past “operational failures” by amending their retirement plan must satisfy three new requirements dictating that:
- the proposed change results in increased benefits;
- said boost is available to all...
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(Clarifies regulatory change in first paragraph.)