Pension Protection Act Blog

The IRS issued Notice 2007-28 today, which provides guidance on the changes to Code section 404 made by the Pension Protection Act. Notice 2007-28 is only 4 pages long. The changes to Code section 404 made by PPA have two different effective dates - the first effective date is for years beginning after December 31, 2005. This guidance is for the changes which become effective after December 31, 2005. The IRS states in Notice 2007-28 that additional guidance will be issued for the changes which take effect in 2008. Notice 2007-28 provides guidance to the change in 404(a)(1), which modified the deduction permitted for defined benefit plans; and the change in 404(a)(7) which modified the combined limit on deductions for contributions to defined benefit plans and defined contribution plans with overlapping coverage.

The IRS also released a revised 2006 Priority Guidance List today. The new list has a better format than previous lists. I am posting a copy containing links to items on the list which have been published so far this year at Qualified Pension Consulting.

Technorati Tags: Pension Protection Act, Notice 2007-28, defined benefit, deduction, ppa