Issue Number: 2014-43
Inside This Issue
- IRS Announces 2015 Pension Plan Limitations; Taxpayers May Contribute up to $18,000 to their 401(k) plans in 2015
- Disregard Oct. 23 Email about e-Services Products
- YouTube: Form 5500-EZ Pilot Penalty Relief Program
- Technical Guidance
1. IRS Announces 2015 Pension Plan Limitations; Taxpayers May Contribute up to $18,000 to their 401(k) plans in 2015
The Internal Revenue Service announced cost of living adjustments affecting dollar limitations for pension plans and other retirement-related items for tax year 2015. Many of the pension plan limitations will change for 2015 because the increase in the cost-of-living index met the statutory thresholds that trigger adjustments.
2. Disregard Oct. 23 Email about e-Services Products
If you received an Oct. 23 email stating you are eligible for IRS e-Services Incentive Products (TDS, DA, EAR), please disregard as this email was sent in error. The IRS apologizes for any inconvenience this may have caused.
3. YouTube: Form 5500-EZ Pilot Penalty Relief Program
Learn about the pilot penalty relief program for late filed Form 5500-EZs by watching this new YouTube video. For more information, go to www.IRS.gov and type “form 5500 corner” in the search box.
Watch this and other videos on the IRS YouTube Channel.
4. Technical Guidance
Notice 2014-66 provides a special rule that enables qualified defined contribution plans to provide lifetime income by offering, as investment options, a series of target date funds (TDFs) that include deferred annuities among their assets, even if some of the TDFs within the series are available only to older participants. This special rule provides that, if certain conditions are satisfied, a series of TDFs in a defined contribution plan is treated as a single right or feature for purposes of the nondiscrimination requirements of Section 401(a)(4) of the Internal Revenue Code. This permits the TDFs to satisfy those nondiscrimination requirements as they apply to rights or features even if one or more of the TDFs considered on its own would not satisfy those requirements.
