IRC §409A Effective Dates

Internal Revenue Code §409A
IRS Rules §§ 1-409A-1 to 1-409A-6

IRS § 1.409A-6 Application of §409A and effective dates

Statutory application and effective dates § 1.409A-6(a)

(1) Application to amounts deferred

(i) In general
(ii) Collectively bargained plans

(2) Identification of date of deferral for statutory effective date purposes
(3) Calculation of amount of compensation deferred for statutory effective date purposes

(i) Nonaccount balance plans
(ii) Account balance plans
(iii) Equity-based compensation plans
(iv) Earnings
(v) Definition of plan

(4) Material modifications

(i) In general
(ii) Adoptions of new plans
(iii) Suspension or termination of a plan
(iv) Changes to investment measures
account balance plans
(v) Stock rights
(vi) Rescission of modifications
(vii) Definition of plan

Regulatory applicability date § 1.409A-6(b)

(b) Regulatory applicability date

IRS Final Release April 2007

Summary

Selected parts of IRS release are indexed immediately below

For complete index,
see Deferred Compensation: IRS Releases

XI. Statutory Effective Dates

A. Effective dates earned and vested amounts
B. Effective dates - calculation of grandfathered amount
C. Material modifications

XII. Effective date of final regulations

A. Existing transition relief
B. Application of final regulations
C. Stock rights
D. Initial deferral elections
E. Designation of time and form of payment
F. Service providers in pay status

XIII. Additional Transition Relief

A. Collectively bargained plans
B. Requirement to amend plans on or before 12.31.07

XIV. Calculation and Timing of Income Inclusion Amounts,
Reporting and Withholding

A. In general
B. Operational violations during the transition period
C. Application of plan aggregation rules during the transition
period
D. Failures to amend during the transition period to comply with the rules of section 409A

XV. Offshore Trusts - Arrangements with Financial Triggers

Miscellaneous

Applicability Date
Effect on Other Documents
Special Analyses
Drafting Information
Adoption of Amendments to the Regulations

IRS Proposal Release October 2005

Summary

Selected parts of IRS release are indexed immediately below

For complete index,
see Deferred Compensation: IRS Releases

X. Statutory effective dates

XI. Transition relief

XII. Calculation and timing of income inclusion amounts

XIII. Funding arrangements

IRS Notices - Transition Relief

Notice 2007-86

Transition relief and guidance

Generally extends to 12.31.08 the transition relief that was scheduled to expire 12.31.07 (see Notice 2006-79)
Revokes and supersedes the transition relief provided by III of Notice 2007-78
Modifies the relief provided in §IV of Notice 2007-78 with regard to employment agreements
Does not affect guidance in §IV of Notice 2007-78 with regard to cashout features or application of §409A(b) to certain trusts and other arrangements

Skadden Arps 10.23.07
Debevoise & Plimpton 10.23.07
Latham & Watkins 10.23.07
Weil Gotshal 10.24.07
Jackson Lewis 10.24.07
Simpson Thacher 10.25.07
Latham & Watkins 10.25.07
Latham & Watkins 2.11.08 [go to page 3]
Plans and arrangements subject to 409A must be in documentary compliance with 409A by 12.31.08. Prior to then (and since 1.01.05) issuers are obligated to operate such plans and arrangements in good faith compliance with 409A.

Notice 2007-78

Transition relief and additional guidance

Deadline extended to 12.31.08, for adoption of documents that comply with §409A (subject to written designation of compliant time and form of payment prior to 1.01.08)
Guidance and additional relief with regard to employment agreements and cashout features
Announcement of plans for limited voluntary compliance program that will permit taxpayers to correct certain unintentional operational violations of §409A and thereby limit amount of additional taxes owed
Relief provided in Notice 2006-33 will not be extended past 12.31.08

Simpson Thacher 9.11.07
Cleary Gottlieb 9.12.07
Latham & Watkins 9.18.07
Weil Gotshal 9.20.07
White & Case September 2007

Notice 2006-100

Transition guidance with respect to 2005 and 2006
reporting and withholding obligations

Modified Notice 20051
Superseded Notice 200594

Notice 2006-79

Additional transition relief

Extends the deadline for many aspects of complying with §409A from 1.01.07 to 1.01.08

Commentary

Wolf Block 10.06.06
Debevoise 10.06.06
Wachtell Lipton 10.06.06
Latham 10.09.06

Notice 2006-64

Interim guidance regarding payments necessary to meet Federal conflict of interest requirements

Notice 2006-33

Transition guidance with respect to the application of section 409A(b))

Notice 2006-4

Transition guidance with respect to certain outstanding stock rights

Notice 2005-94

Transition guidance with respect to 2005 reporting and withholding obligations

IRS website version 12.27.05
IRS PDF
2005-2 CB 1208

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