If you have something to say about the IRS proposed rule on Multiple Employer Plans, speak soon or forever hold your peace.
The IRS has posted a notice that it will hold a public hearing Dec. 11 on proposed regulations relating to the tax qualification of plans maintained by more than one employer. These plans, maintained pursuant to section 413(c) of the Internal Revenue Code (Code), are often referred to as Multiple Employer Plans or MEPs.
Want to include your two cents? Here’s your chance.
The IRS must receive speakers’ outlines of the topics to be discussed at the public hearing by Monday, Nov. 25, 2019. If no outlines are received by that date, the public hearing will be cancelled (details on how to submit below).
The Department of Labor’s Final MEP rule—which makes it easier for small businesses to offer DC plans to their workers through Association Retirement Plans (ARP)—took effect on September 30. Under the rule, ARPs can be offered by associations of employers in a city, county, state, or a multi-state metropolitan area, or in a particular industry nationwide.
But when that Final Rule came out, some in the retirement plan industry were disappointed it did not include a provision for Open MEPs (particularly in light of the SECURE Act, which includes an Open MEPs provision, remaining in Senate purgatory). Recognizing this, the DOL also published a document seeking comment on whether to amend regulations to facilitate the sponsorship of Open MEPs.
“After reviewing the comments, the Department is persuaded that Open MEPs deserve further consideration. The Department does not believe that it has acquired a sufficient public record on, or a thorough understanding of, the complete range of issues presented by the topic,” the DOL’s statement said. “In light of this and the conflict in the comments about whether and how to permit open MEPs, as well as legislation pending in the 116th Congress, the Department has decided to stimulate further debate and to further develop the public record by soliciting comments on a broad range of issues relating to Open MEPs…”
Then came the separate notice of the IRS public hearing on the proposed Open MEPs rule, scheduled for 10 a.m. on Dec. 11 in the IRS Auditorium, Internal Revenue Service Building, 1111 Constitution Avenue NW, Washington, DC 20224.
A period of 10 minutes will be allotted to each person for presenting oral comments. After the deadline for receiving outlines has passed, the IRS will prepare an agenda containing the schedule of speakers. Copies of the agenda will be made available, free of charge, at the hearing or by contacting the Publications and Regulations Branch at (202) 317-6901.
Send Submissions to CC:PA:LPD:PR (REG-121508-18), Room 5205, Internal Revenue Service, P.O. Box 7604, Ben Franklin Station, Washington, DC 20044. Submissions may be hand-delivered Monday through Friday to CC:PA:LPD:PR (REG-121508-18), Couriers Desk, Internal Revenue Service, 1111 Constitution Avenue NW, Washington, DC 20224 or sent electronically via the Federal eRulemaking Portal at www.regulations.gov (IRS REG-121508-18).
Concerning the regulations, interested parties can contact Pamela Kinard at (202) 317-6000 or Jamie Dvoretzky at (202) 317-4102. Concerning the submission of comments, the hearing and/or to be placed on the building access list to attend the hearing, contact Regina Johnson at (202) 317-6901 or fdms.database@irscounsel.treas.gov.
SEE ALSO:
- What’s Next for 401k MEPs?
- Putting MEPs on the Map
- DOL Wants Your Input on Open 401k MEPs
- DOL’s Final Rule on ARPs: What It Means for the Retirement Industry
Veteran financial services industry journalist Brian Anderson joined 401(k) Specialist as Managing Editor in January 2019. He has led editorial content for a variety of well-known properties including Insurance Forums, Life Insurance Selling, National Underwriter Life & Health, and Senior Market Advisor. He has always maintained a focus on providing readers with timely, useful information intended to help them build their business.
