In Notice 2022-45, the IRS extended the deadline — to December 31, 2025 — to adopt amendments for changes to the Coronavirus Aid, Relief, and Economic Security (CARES) Act loan and distribution options and the retirement-related disaster relief included in the Taxpayer Certainty and Disaster Tax Relief Act of 2020 (Relief Act) (with special amendment deadline extensions for governmental plans). Notice 2022-45 also extends the Internal Revenue Code section 411(d)(6) cutback relief for amendments that reflect these CARES Act provisions and are adopted by the extended deadline. This guidance supplements the plan amendment relief previously granted through Notice 2022-33.
In August, the IRS issued Notice 2022-33, which extended the deadline to adopt amendments for changes under (1) the Setting Every Community Up for Retirement Enhancement (SECURE) Act; (2) the Bipartisan American Miners Act of 2019 (lowering the in-service distribution age to 59 ½ for pension plans); and (3) the CARES Act (waiving 2020 required minimum distributions), until December 31, 2025.
The notice also extended the Internal Revenue code section 411(d)(6) cutback relief for amendments that reflect the SECURE Act changes provided they are adopted before the extended deadline. Special amendment deadline extensions were also provided for governmental plans.
Notably, however, the extensions did not apply to the special coronavirus loan and distribution options provided under section 2202 of the CARES Act nor to the retirement-related disaster relief included in the Relief Act, which meant that many plans would still have to be amended for these provisions by the end of the 2022 plan year.1
Now, with the deadline extension expanded to include these additional changes, amendments to reflect the CARES Act and Relief Act — as well as the SECURE Act and Miners Act — may be adopted on a single date. These extensions will give the IRS more time to issue guidance that plan sponsors will need to prepare amendments by the extended 2025 deadline.
Notice 2022-45 applies to amendments that would have otherwise been required as early as this year. Although plans will now have until December 31, 2025, to adopt these amendments, it is important that they continue to operate within these requirements.
1 For more information on the earlier IRS Notice 2022-33, see “IRS extends deadline to adopt amendment under SECURE Act, provisions under Miners Act and CARES Act,” Insider, August 2022.
| Title | File Type | File Size |
|---|---|---|
| Insider October 2022 | .1 MB |
