Proc. The application must be accompanied by the required user fee that will be provided in the successors to Rev. (3) Except as provided in the applicable Cumulative List, the IRS generally will not consider in its review of any Opinion Letter application any: (a) guidance issued after approximately 90 days (the exact date being stated in the Cumulative List) prior to the date the applicable Cumulative List is issued; (b) statutes enacted after approximately 90 days (the exact date being stated in the Cumulative List) prior to the date the applicable Cumulative List is issued; (c) statutes that are first effective in the year in which the On-Cycle Submission Period begins for which there is no guidance identified on the applicable Cumulative List (regardless of when they are enacted); or. 2019-39. For this purpose, an Opinion Letter will be given the same effect as a determination letter. The limited extension of the Initial Remedial Amendment Period applies to a Form Defect that: (a) either (i) results in the failure of the plan to satisfy the 403(b) Requirements by reason of a change in those requirements, or (ii) is integral to the 403(b) Requirement that has been changed, and (b) first occurs on or after January 1, 2018. (2) An Adopting Employer may not rely on an Opinion Letter if the Adopting Employers adoption of a 403(b) Pre-approved Plan precedes the issuance of an Opinion Letter for the plan. The Treasury Department and the IRS will publish for public availability any comment submitted electronically, and to the extent practicable on paper, to its public docket. 2019-48 (or successor). 2015-22, 2015-11 I.R.B. research, news, insight, productivity tools, and more. releases, Your .24 Rev. (c) The Mass Submitter must initially submit the first page of the application form (or the entire Appendix A) as a placeholder with respect to each Provider that will offer a plan that is a Minor Modification of the Mass Submitters plan during the On-Cycle Submission Period. (1) A 403(b) Pre-approved Plan is a 403(b) plan (including a plan covering self-employed individuals) that is made available by a Provider for adoption by Eligible Employers. A cloud-based tax Proc. Rev. .02 Delivery service An application shipped by Express Mail or a delivery service should be sent to the attention of the Pre-Approved Plans Coordinator, to: Internal Revenue Service 550 Main Street Room 6-403, Group 7521 Cincinnati, OH 45202. Revocation may be effected by a notice to the Provider to which the Opinion Letter was originally issued. Thus, if a prior ruling held that a principle applied to A but not to B, and the new ruling holds that it applies to both A and B, the prior ruling is modified because it corrects a published position. .04 An Opinion Letter does not consider Title I issues An Opinion Letter does not express an opinion, and may not be relied upon, with respect to whether any plan is subject to the requirements of Title I of ERISA or whether a plan satisfies any of those requirements. The plan also must state that the nondiscrimination requirements will be applied to any employee other than an employee of a QCCO or Church. Secure .gov websites use HTTPS .05 Rev. Proc. 2013-22 provides that the IRS expects future guidance to require the restatement of every 403(b) Pre-approved Plan by the plans Provider every six years. The Adopting Employer will have until the end of the Cycle 2 Employer Adoption Window to adopt a Cycle 2 Newly Approved 403(b) Pre-approved Plan that permits the participation of an employee described in 414(e)(3)(B) and that includes the nondiscrimination requirements that apply to any employee other than an employee of a QCCO or Church. Provide Americas taxpayers top-quality service by helping them understand and meet their tax responsibilities and enforce the law with integrity and fairness to all. Employers using these rates to set per diem allowances can treat the amount of certain categories of travel expenses as substantiated without requiring that employees prove the actual amount they spent. For these purposes, a custodial account and a Retirement Income Account are treated as a 403(b) annuity contract. However, if you deliver goods outside the continental U.S., this rate increases to $71per day. (a) New plan In the case of a new plan, on the later of (i) the last day of the second calendar year following the calendar year in which the plan is put into effect, or (ii) in the case of a Governmental Plan, 90 days after the close of the third regular legislative session of the legislative body with the authority to amend the plan that begins after the end of the plans initial plan year. .01 Expiration of the limited extension of the Initial Remedial Amendment Period Provided that an initial amendment is timely made in accordance with section 13.03 of Rev. Rates are available between 10/1/2012 and 09/30/2023. Foreign Per Diem Rates In U.S. The amount deemed substantiated will be the lesser of the allowance actually paid or the applicable per diem rate for the same set of expenses. The application must be sent to the address provided in section 20. The procedure for amendments by the Provider also must state that, for purposes of reliance on the Opinion Letter, the Provider will no longer have the authority to amend the plan on behalf of the Adopting Employer as of the date the plan is treated as an individually designed plan pursuant to section 9.05. The IRS has announced the special per diem rates that can be used to substantiate the amount of business expenses incurred for travel away from home on or after October 1, 2021. 2013-22 provides that a 403(b) Pre-approved Plan that is intended to be a Retirement Income Account may be maintained only by a Church or convention or association of churches, including an organization described in 414(e)(3)(A), to provide benefits under 403(b) for its employees or their beneficiaries as described in 1.403(b)-9. Proc. .02 The prototype and volume submitter programs are combined and replaced by a single Opinion Letter program that provides for two types of plans: Standardized Plans and Nonstandardized Plans. EMPLOYER RELIANCE ON OPINION LETTER, SECTION 10. The following localities have a federal per diem rate of $249 or more, and are high-cost localities for the specified portion of the calendar year. OPINION LETTER APPLICATIONS INSTRUCTIONS TO PROVIDERS AND OTHER RULES FOR APPLICATIONS AND OPINION LETTERS, SECTION 11. .22 Qualified Church-Controlled Organization or QCCO A Qualified Church-Controlled Organization or QCCO is a church-controlled tax-exempt organization described in 501(c)(3) that is a qualified church-controlled organization within the meaning of 3121(w)(3)(B). See sections 8.01 and 8.02 for the effect of any other amendments on reliance on an Opinion Letter by the Adopting Employer. 2019-39, as modified by Rev. If you have comments concerning the format or production of the Internal Revenue Bulletin or suggestions for improving it, we would be pleased to hear from you. 2020-40, 2020-38 I.R.B. If 4.b. Additionally, the IRS requests that applications be submitted by thumb or flash drive instead of being submitted as paper files, and that the documents be saved in Microsoft Word or Adobe Acrobat PDF format. 2020-21, 2020-22 I.R.B. 2016-37 is redesignated as section 15.06(2). Proc. Revoked describes situations where the position in the previously published ruling is not correct and the correct position is being stated in a new ruling. (3) Notwithstanding the preceding provisions of this section 4.21, any person that has an established place of business in the United States where it is accessible during every business day may be a Provider that offers a plan that is word-for-word identical to a plan of a Mass Submitter (as an identical adopter) or a plan that includes Minor Modifications to a plan of a Mass Submitter (as a minor modifier adopter) regardless of the number of Eligible Employers that are expected to adopt the plan. The per diem rates are $74 for travel to any high-cost location and $64 for travel to any other location within the continental U.S, in place of the rates indicated in Notice 2020-71. governments, Business valuation & 575,7 establishes a system of 403(b) Pre-approved Plan cycles during which a Provider may submit a 403(b) Pre-approved Plan for review and approval by the IRS. A Provider may apply for Opinion Letters for any number of 403(b) Pre-approved Plans. is checked, do you expect at least 15 Eligible Employers to adopt one of your 403(b) plans? Adoption agreement (if the application is for a 403(b) Pre-approved Plan that uses an adoption agreement)? 2016-37, 2016-29 I.R.B. Unpublished rulings will not be relied on, used, or cited as precedents by Service personnel in the disposition of other cases. Notwithstanding the preceding sentence, a person that is otherwise eligible to be a Provider generally may apply for an Opinion Letter for a plan that is intended to be a Retirement Income Account without satisfying the 15-Eligible-Employer requirement with respect to that plan. The standard meal allowance, which is the federal meals and incidental expense (M&IE) per diem rate. .23 Related Employers For a plan that is not a Governmental Plan, Related Employers means all employers that are aggregated with the Adopting Employer under 414(b) and (c) (each as modified by 415(h)), (m), and (o) and the regulations thereunder. .01 Filing of Opinion Letter application constitutes agreement to comply with record keeping requirements By submitting an application for an Opinion Letter under this revenue procedure (or by having an application filed on its behalf by a Mass Submitter), a Provider agrees, as provided in section 4.21, to comply with the requirements imposed on the Provider by this revenue procedure, including the record keeping requirements of this section. For example, an Adopting Employers Adoption Agreement Plan may offer both Investment Arrangements that permit loans and Investment Arrangements that do not permit loans. 467, Rev. Revenue rulings and revenue procedures (hereinafter referred to as rulings) that have an effect on previous rulings use the following defined terms to describe the effect: Amplified describes a situation where no change is being made in a prior published position, but the prior position is being extended to apply to a variation of the fact situation set forth therein. 2020-49, 2020-48 I.R.B. 944, and Rev. (2) The terms of the plan must satisfy the separate accounting, investment performance, and exclusive benefit requirements of 1.403(b)-9(a)(2)(i). .09 Material furnished to Adopting Employers A Provider must furnish each Adopting Employer with a copy of the approved 403(b) Pre-approved Plan, copies of any subsequent amendments, and the most recently issued Opinion Letter for the plan from the IRS. 2016-37 sets forth the deadline for the timely adoption of an interim amendment to a qualified pre-approved plan. Rev. .06 Section 21.02 of Rev. 2019-39 provides that, except as otherwise provided by statute, or in regulations or other guidance published in the Internal Revenue Bulletin, and provided that an interim amendment (if applicable) is made timely and in good faith with the intent of complying with the 403(b) Requirements, the Remedial Amendment Period with respect to a 403(b) Pre-approved Plan Form Defect first occurring after the Initial Remedial Amendment Period will end no earlier than the end of Cycle 2 and that the IRS intends to issue guidance providing additional rules for determining the end of the Remedial Amendment Period. .02 Notification to employers A Provider that intends to discontinue sponsorship of a 403(b) Pre-approved Plan that has one or more Adopting Employers must inform each Adopting Employer of the date on which the Provider will discontinue sponsorship, and that the Adopting Employers plan will cease to be a 403(b) Pre-approved Plan and convert to an individually designed plan on that date. .01 In general This revenue procedure is effective on July 1, 2020, the day Cycle 2 began, and, except as otherwise stated, applies to applications for an Opinion Letter submitted solely with respect to Cycle 2 and subsequent Cycles. Comments may be submitted in one of two ways: (1) Electronically via the Federal eRulemaking Portal at www.regulations.gov (type IRS-2021-0011 in the search field on the regulations.gov homepage to find this revenue procedure and submit comments). The IRS will not issue an Opinion Letter with respect to amendments made between applicable On-Cycle Submission Periods, and a Mass Submitter should not submit an application for an Opinion Letter with respect to plan amendments. 9 In order to satisfy the 403(b) Requirements, a plan must comply with all relevant 403(b) Requirements, not solely those on the applicable Cumulative List, which generally reflects only the most recent changes to the 403(b) Requirements. (ii) Administrative provisions A Mass Submitter may offer a variety of administrative provisions in its plan for Providers to include or delete from their version of the plan. .03 In light of the COVID-19 pandemic, state and local governmental units sought alternatives to in-person hearings held to meet the public approval requirement. Traveler reimbursement is based on the location of the work activities and not the accommodations, unless lodging is not available at the work activity, then the agency may authorize the rate where lodging is obtained. The Provider must also notify an Adopting Employer that failure to timely adopt the plan or restatement, when required, or failure to take into account plan amendments in the operation of the plan, could result in adverse tax consequences. 2019-39, this section provides rules for determining the expiration date of the Remedial Amendment Period for a Form Defect first occurring after the expiration of the Initial Remedial Amendment Period (that is, after June 30, 2020) in a 403(b) Pre-approved Plan. Annual high-low rates. We're taking you to our old site, where the page you asked for still lives Continue to old site Last updated: 28 Apr 2021 A Single Document Plan consists of a single plan document offered by a Provider without an adoption agreement. Also, consistent with this modification, section 15.06(2) of Rev. This revenue procedure applies to all ruling requests pending in or received by the Service on or after September 3, 2021. 948, and Rev. .02 Adoption Agreement Plan See section 4.27(2). .05 Eligible Employer An Eligible Employer is an employer described in 403(b)(1)(A). In this case, the previously published ruling is first modified and then, as modified, is superseded. The period described in section 4.02 of Rev. The IRS announced that per diem will be 100% deductible for income tax purposes. The IRS announced in n-21-63 that per diem will be 100% deductible for income tax purposes. For trucking, it had been only 80% deductable and for others, it was less than that. .20 Opinion Letter An Opinion Letter is a written statement issued by the IRS to a Provider or Mass Submitter that the form of a 403(b) Pre-approved Plan satisfies the 403(b) Requirements. 2013-22 provides that an employer that adopts a volume submitter plan and amends the terms of the approved specimen plan loses reliance on the advisory letter only to the extent of the amendment (as long as, after the amendment, the plan remains substantially similar to the terms of the approved specimen plan), but that the employer has no option to obtain a determination letter on the amended portions of the plan. Investment arrangement(s) permitted under the Providers plan: _____a. WASHINGTON The U.S. General Services Administration (GSA) today released the fiscal year (FY) 2021 travel per diem rates, which will take effect on October 1, 2020. The Service will not issue rulings on whether an act of self-dealing occurs when a private foundation (or other entity subject to 4941) owns or receives an interest in a limited liability company or other entity that owns a promissory note issued by a disqualified person. .02 Additional provisions Section 5.18 sets forth additional provisions required for all Standardized Plans. Receiving a per diem allowance of $80 and being provided with all meals while working Payer provides goods and services to the value of $15 a day Getting a per diem allowance of $95 Moving between Inland Revenue sites Heads up. .26 Retirement Income Account A Retirement Income Account is a defined contribution program established or maintained by a Church, including an organization described in 414(e)(3)(A), to provide benefits under 403(b) for an employee described in 403(b)(1) (including an employee described in 414(e)(3)(B)) or his or her beneficiaries, as described in 403(b)(9). Proc. 743,5 sets forth the procedures of the IRS for issuing opinion and advisory letters for 403(b) Pre-approved Plans for Cycle 1, which began on the later of January 1, 2010, or the effective date of the plan, and that, ended on June 30, 2020. Per Diem Rates Maximum travel per diem rates for current and prior years for the continental United States are available at the General Service Administration (GSA) Website: Per Diem Rates Any area that is not specifically listed is assigned the standard CONUS (Continental United States) per diem rate. Optional special per diem rates. 2019-39 to change the expiration date of the Initial Remedial Amendment Period, and all dates that are based on the expiration of the Initial Remedial Amendment Period, from March 31, 2020 to June 30, 2020. The updated LRMs, when available, may be downloaded from the Internet at http://www.irs.gov/Retirement-Plans/Listing-of-Required-Modifications-LRMs. Section 2.13. IR-2021-225, November 16, 2021. If the changes are not received within 30 days, the application may be considered withdrawn. Proc. .01 Rev. For information on how to submit comments, see section 28. For this purpose, a plan is a written defined contribution plan that, in both form and operation, satisfies the requirements of the final regulations under 403(b).4. See section 13.02. Pursuant to section 5.08, the Provider will no longer have the authority to amend the plan on behalf of the Adopting Employer. We establish the per diem rates for the continental United States (CONUS), which includes the 48 contiguous states and the District of Columbia. .07 Section 21.03 of Rev. .01 Final regulations under 403(b) were published on July 26, 2007 (T.D. customs, Benefits & See section 10 for the instructions for Opinion Letter applications. Can an ERISA Plan Limit the Time a Claimant Has to File a Lawsuit for Plan Benefits? Proc. Except for refunding bonds described in 147(f)(2)(D), a bond issue must be approved by the governmental unit issuing the bonds (or on behalf of which such bonds are issued) and by the governmental unit having jurisdiction over the area in which any facility to be financed by the issue is located. Only one copy of the basic plan document should be provided. Proc. statement, 2019 .01 Section 15.04(1) of Rev. 2019-39 provides that the initial amendment must be adopted by the later of (a) the expiration of the Initial Remedial Amendment Period (that is, June 30, 2020), or (b) the end of the calendar year following the calendar year in which the change in 403(b) Requirements is effective with respect to the plan. Note that lower rates apply for the For example, an administrative provision does not include a provision regarding the annual notice to participants explaining the aggregation rules for the limitation on annual additions to a plan (if a participant is in control of any employer). 26 CFR 601.601: Rules and Regulations. You can email us your suggestions or comments through the IRS Internet Home Page www.irs.gov) or write to the, Page Last Reviewed or Updated: 17-Sep-2021, Request for Taxpayer Identification Number (TIN) and Certification, Employers engaged in a trade or business who pay compensation, Electronic Federal Tax Payment System (EFTPS), Finding List of Current Actions on Previously Published Items1, We Welcome Comments About the Internal Revenue Bulletin, Treasury Inspector General for Tax Administration, October 1 December 31, March 1 April 30, and September 1 September 30, Los Angeles, Orange, Ventura, Edwards AFB less the city of Santa Monica, October 1 - October 31 and January 1 - September 30, October 1 October 31 and June 1 September 30, October 1 November 30 and April 1 September 30, October 1 March 31 and June 1 September 30, October 1 October 31 and April 1 September 30, Washington D.C. (also the cities of Alexandria, Falls Church, and Fairfax, and the counties of Arlington and Fairfax, in Virginia; and the counties of Montgomery and Prince George's in Maryland) (See also Maryland and Virginia), Bronx, Kings, New York, Queens, and Richmond, October 1 December 31 and March 1 September 30, October 1 November 30, March 1 June 30, and September 1 September 30, October 1 November 30 and March 1 September 30, Cities of Alexandria, Falls Church, and Fairfax; Counties of Arlington and Fairfax, SECTION 5. See section 8.03(6) regarding limitations on reliance. (3) Additionally, the Adopting Employer of a Standardized Plan may not rely on the Opinion Letter for the Standardized Plan with respect to: (a) whether the timing of any amendment to the Adopting Employers plan (or series of amendments) satisfies the nondiscrimination requirements of 1.401(a)(4)-5(a), except with respect to plan amendments granting past service that meet the safe harbor described in 1.401(a)(4)-5(a)(3) and are not part of a pattern of amendments that significantly discriminates in favor of highly compensated employees, or (b) whether the Adopting Employers plan satisfies the effective availability requirement of 1.401(a)(4)-4(c) with respect to any benefit, right, or feature. Proc. 2021-4 (updated annually)). 1 A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 202127 through 202152 is in Internal Revenue Bulletin 202152, dated December 27, 2021. Procedures relating solely to matters of internal management are not published; however, statements of internal practices and procedures that affect the rights and duties of taxpayers are published. 2019-39, the limited extension of the Initial Remedial Amendment Period, as defined under Rev. 172 (or its successor). .01 This revenue procedure sets forth the procedures of the Internal Revenue Service (IRS) for issuing Opinion Letters1 regarding the satisfaction in form of 403(b) Pre-approved Plans with respect to the requirements of 403(b) of the Internal Revenue Code (Code) for the second Remedial Amendment Cycle (Cycle 2). See section 21. See section 9 for the effect of certain plan amendments on a plans eligibility for the Cycle system. 2016-37 is revised to read as follows: In the case of an interim amendment, an employer (or an M&P sponsor or VS practitioner, if applicable) is considered to have timely adopted the amendment if the plan amendment is adopted by the end of the second calendar year following the calendar year in which the change in qualification requirements is effective with respect to the plan. 2016-37, which is applicable to a governmental plan within the meaning of 414(d), and which is determined by reference to the interim amendment deadline for a plan that is not a governmental plan, is modified. A Flexible Plan adopted by a Provider that differs from the Mass Submitter plan only because the Provider has deleted certain optional provisions from its plan in conformance with the Mass Submitters representation described in this paragraph will be treated as a word-for-word identical plan to the Mass Submitter plan. Suspended is used in rare situations to show that the previous published rulings will not be applied pending some future action such as the issuance of new or amended regulations, the outcome of cases in litigation, or the outcome of a Service study. .05 Section 403(b) Pre-approved Plans treated as individually designed An Adopting Employers 403(b) Pre-approved Plan will be treated as individually designed (and the Adopting Employer may not rely on the plans Opinion Letter and will lose eligibility for the Cycle system) under the following circumstances: (1) An Adopting Employer makes any amendment to a Standardized Plan other than an amendment listed in section 9.03 or as otherwise described in this section 9.05. The notice includes (1) the special transportation industry meal and incidental expenses rates, (2) the rate for the incidental expenses only deduction, and (3) the rates and list of high-cost localities for the high-low substantiation method. See section 12.02. .02 Other applications Any other application for an Opinion Letter (including that of a minor modifier adopter of a Mass Submitter plan) that is submitted after the applicable On-Cycle Submission Period for a Cycle is treated as off-cycle, as defined in section 10.02. Proc. Minor modifier adopter of Mass Submitter plan. The Treasury Department and the IRS invite comments on this revenue procedure. In this case, (1) the basic plan document must include provisions reflecting the 403(b) Requirements, including 1.403(b)-6, and 1.72(p)-1, and (2) the basic plan document and adoption agreement, as completed by the Adopting Employer, must provide that, to the extent permitted by the terms governing the applicable Investment Arrangement, participant loans are available. Proc. In that case, the plan number given to the basic plan document must remain the same as in the prior submission. If the Adopting Employer selects an allocation formula for contributions other than elective deferrals that satisfies one of the design-based safe harbors in 1.401(a)(4)-2(b)(2), and, if the allocation formula is based on compensation, selects a safe harbor compensation definition that satisfies 1.414(s)-1(c), then the Adopting Employer may rely on an Opinion Letter with respect to the nondiscriminatory amounts requirement under 401(a)(4), if applicable. 2020-21, effective May 4, 2020, provides temporary guidance regarding the public approval requirement under 147(f). 2019-39 sets forth plan amendment deadlines for interim amendments made to a 403(b) Pre-approved Plan. .13 Section 5 of Rev. This revenue procedure provides temporary guidance regarding the public approval requirement under 147(f) of the Internal Revenue Code for tax-exempt qualified private activity bonds. (4) By submitting an application for an Opinion Letter for a 403(b) Pre-approved Plan under this revenue procedure (or by having an application filed on its behalf by a Mass Submitter), a person represents to the IRS that it is a Provider, and that it agrees to comply with any requirements imposed on Providers by this revenue procedure. During the first year of Cycle 3, Employer X makes an amendment described in section 9.05(1), effective as of the first day of the plan year that begins during the first year of Cycle 3. 87-50, 1987-2 C.B. .10 An employee described in 414(e)(3)(B) is permitted to participate in a 403(b) Pre-approved Plan that is intended to be a Retirement Income Account. This does not preclude the adoption of a 403(b) Pre-approved Plan (including a Standardized Plan) if different Investment Arrangements under a plan have different features or prevent the inclusion of additional provisions in the terms of the Investment Arrangements under the plan or other documents incorporated by reference. However, the plan as adopted by a Provider must describe how the plan will be administered. .01 Section 403(b) plan that is not a Governmental Plan For a 403(b) Pre-approved Plan that is not a Governmental Plan, a Provider (or the Adopting Employer, if applicable) is considered to have adopted an interim amendment described in section 9.02 timely if the amendment is adopted by the end of the second calendar year following the calendar year in which the change in 403(b) Requirements is effective with respect to the plan. (4) the absence from a plan of a provision required by a change to the 403(b) Requirements (either by statute, or in regulations or other guidance published in the Internal Revenue Bulletin) or integral to the change. .02 Section 1.147(f)-1(d)(1) of the Income Tax Regulations provides that public hearing means a forum providing a reasonable opportunity for interested individuals to express their views, orally or in writing, on the proposed issue of bonds and the location and nature of the proposed project to be financed. Thomson Reuters/Tax & Accounting. 2013-22, employees of a Qualified Church-Controlled Organization (QCCO) or a non-QCCO may not participate in a 403(b) Pre-approved Plan that is intended to be a Retirement Income Account. The Department of the Treasury and the IRS intend to revise Rev. .06 Section 15.06(2) of Rev. Rates for foreign countries are set by the State Department. The following abbreviations in current use and formerly used will appear in material published in the Bulletin. Where can I find the per diem rates for foreign countries? .12 Provider telephone numbers Each 403(b) Pre-approved Plan must include the Providers name, address, and telephone number (or a space for the address and telephone number of the Providers authorized representative) for inquiries by Adopting Employers regarding the adoption of the plan, the meaning of plan provisions, or the effect of the Opinion Letter. WASHINGTON The Internal Revenue Service today issued Notice 2021-63PDF to make clear how the temporary 100% business deduction for food or beverages from restaurants applies to taxpayers properly applying the rules of Revenue Procedure 2019-48PDF for using per diem rates. (5) An Adopting Employer chooses to discontinue participation in a 403(b) Pre-approved Plan that has been amended by the Provider, without substituting another 403(b) Pre-approved Plan. The IRS anticipates providing updated sample plan language (Listing of Required Modifications or LRMs) before the On-Cycle Submission Period with respect to a Cycle begins. .01 Provider plan amendments generally Providers are required to amend their 403(b) Pre-approved Plans to ensure that the form of their plans continues to satisfy the 403(b) Requirements. Optional administrative provisions that a Provider may include in or delete from its version of the plan include the resignation or replacement of fiduciaries, the claims procedures under the plan, and the record-keeping requirements. .30 Standardized Plan A Standardized Plan is a 403(b) Pre-approved Plan that meets the requirements set forth in section 5.18. The principal author of this notice is James Liechty of the Office of Associate Chief Counsel (Income Tax & Accounting). Section 21.02 of Rev. (3) Standardized and Nonstandardized Plans may not be set forth in a single adoption agreement. Foreign Per Diem Rates by Location DSSR 925. Changes to the information in the required appendix will not affect the Adopting Employers ability to rely on an Opinion Letter. 872, as modified by Rev. 136 (as modified by Rev. .01 Scope of review The IRS will review the plans that have been submitted during the On-Cycle Submission Period for a Cycle (as well as later identical adopter applications and applications that are off-cycle that the IRS will review in accordance with section 12) taking into account the applicable Cumulative List for the Cycle. 2021-30 (or its successor), for correcting a Form Defect after the expiration of the Remedial Amendment Period for the Form Defect. Generally, tax returns and tax return information are confidential, as required by 26 U.S.C. (c) either (i) the only contributions under the plan are elective deferrals, or (ii) the plan provides for contributions other than elective deferrals and all of the employers in the Adopting Employers controlled group are Eligible Employers. Proc. .09 Any Nonstandardized Plan may provide for either safe harbor or non-safe harbor hardship distributions. (2) Section 13 of Rev. Further, it sets forth a system of recurring Remedial Amendment Periods for correcting Form Defects in 403(b) Pre-approved Plans first occurring after the Initial Remedial Amendment Period (that is, after June 30, 2020), and provides a limited extension of the Initial Remedial Amendment Period for certain Form Defects. 786, to correct the portion of the year Sedona, Arizona is a high-cost locality under section 5 of Notice 2020-71. This notification is for the convenience of the applicable Mass Submitter or Provider concerning the status of its application and does not constitute an official Opinion Letter on which the Mass Submitter or Provider may rely. The IRS will regard the information and certification described in paragraphs (3) and (4) of this section 10.05 as a representation of a material fact for purposes of issuing an Opinion Letter. The IRS may, in appropriate circumstances, request documentation of the assumption of sponsorship prior to issuing an Opinion Letter to the new entity. 654. IRS provides guidance on per diem rates and the temporary 100% deduction for food or beverages from restaurants. In particular, the plan language must coordinate the application of the 415 limits to all the Standardized Plans of the Adopting Employer and its Related Employers so that, if the only 403(b) plans maintained by the Adopting Employer and its Related Employers are Standardized Plans, the plans will satisfy 415(c) and 1.415(f)-1(a)(3) without requiring the addition of overriding plan language. 2021-37. Failure to make the interim amendments may result in the form of the plan failing to satisfy the 403(b) Requirements. There are almost 400 destinations across the United States for which a special per-diem rate has been specified. 2017-18. Per diem payments are not part of an employees standard wage, so technically, theyre not taxable. However, under certain conditions, it can be considered taxable income. Youll still need to include a per diem for business travel on an income tax return. For the most part, these arent included in the employees tax amount owed. (c) Existing 403(b) Pre-approved Plan An Existing 403(b) Pre-approved Plan, which is a plan (other than a Newly Approved 403(b) Pre-approved Plan) that has received an Opinion Letter for the immediately preceding Cycle. Page Last Reviewed or Updated: 07-Oct-2022, Request for Taxpayer Identification Number (TIN) and Certification, Employers engaged in a trade or business who pay compensation, Electronic Federal Tax Payment System (EFTPS), Publication 463, Travel, Entertainment, Gift, and Car Expenses, Small Business, Self-Employed, Other Business, Treasury Inspector General for Tax Administration, Per diem rates for areas outside the continental United States (. .03 The heading of section 15.06(1) of Rev. .17 Non-qualified Church-Controlled Organization or Non-QCCO A Non-qualified Church-Controlled Organization or Non-QCCO is a church-controlled tax-exempt organization described in 501(c)(3) that is not a QCCO. .05 Expeditious processing accorded Mass Submitter plans Subject to section 12, all Mass Submitter plans, including approved Mass Submitter plans adopted by Providers, will be accorded more expeditious processing than plans submitted by non-Mass Submitters, to the extent administratively feasible. Proc. The On-Cycle Submission Period for a Cycle may begin after the start of that Cycle. 985, as modified by Rev. is selected, check all of the following types of employers that may utilize the Retirement Income Account plan: _____b. Proc. 2020-21 provides that for the period beginning May 4, 2020, and ending on December 31, 2020, hearings held by teleconference that are accessible to the residents of the approving governmental unit by calling a toll-free telephone number will be treated as held in a location that, based on the facts and circumstances, is convenient for residents of the approving governmental unit for purposes of 1.147(f)-1(d)(2). See section 4.04 of Rev. 2017-18 further provides that a plan that does not satisfy the 403(b) Requirements in form on any day during the Initial Remedial Amendment Period will be considered to have satisfied those requirements if, on or before March 31, 2020, all provisions of the plan that are necessary to satisfy 403(b) have been adopted and made effective in form and operation from the beginning of the Initial Remedial Amendment Period.6. However, the plan as adopted by a Provider must provide a method for investing assets. For purposes of determining whether 15 unaffiliated Providers offer, on a word-for-word basis, the same 403(b) Pre-approved Plan, a Mass Submitter that is also a Provider is treated as an unaffiliated Provider. Section 16.01 of Rev. If the Provider or plan drafter is aware that a lead plan or any substantially identical plan has been assigned for review to a specialist, the cover letter also should indicate the name of the specialist, if possible. 2019-48 may treat the meal portion of a per diem rate or allowance paid or incurred after Dec. 31, 2020, and before Jan. 1, 2023, as being attributable to food or beverages provided by a restaurant. .13 Definition of employee Each 403(b) Pre-approved Plan that is not a Governmental Plan must define an employee as any employee of the Adopting Employer maintaining the plan or any other Eligible Employer aggregated with that Adopting Employer under 414(b), (c), (m), or (o) and the regulations thereunder. Is an Employer described in 403 ( b ) ( 1 ) of Rev the to. Accounting ) must describe how the plan failing to satisfy the 403 ( b ) Pre-approved plan ( 2 of! Will not be set forth in section 5.18 15.04 ( 1 ) ( 1 ) Rev. 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