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FAQs for Hurricane Victims - Retirement Contributions

(1/23/07) Q:  Does the relief provided by the Service for affected taxpayers from the areas of Louisiana, Mississippi, and Alabama most severely damaged by Hurricane Katrina include the time to make deductible contributions to a SEP or SIMPLE plan?  If so, what is the last day to make such a contribution?  (Note: This FAQ updates and clarifies the information previously posted on August 25, 2006, September 6, 2006 and October 3, 2006.)

A:  Yes.  The deadline for making deductible contributions to a SEP or SIMPLE plan was postponed.   Notice 2006-20 stated that the times to perform the acts listed in section 301.7508A-1(c)(1) of the regulations were postponed to August 28, 2006.  Paragraph (iii) of such section listed the deadline for making contributions to a SEP or SIMPLE plan.  However, the IRS allowed deductions for SEP and SIMPLE contributions for tax year 2005 as long as the contribution was made by October 16, 2006.  If an additional six month extension of time to file was made on or before October 16, 2006, then contributions to the SEP or SIMPLE plan were extended to April 17, 2007.  Note: pursuant to section 219(f), contributions to IRAs were required to be made on or before October 16, 2006.

(1/27/07) Q: Does the relief provided by the Service for affected taxpayers from the areas of Louisiana, Mississippi, and Alabama most severely damaged by Hurricane Katrina include the time to make contributions to a Keogh plan or an HSA? If so, what is the last day to make such a contribution?  (Note: This FAQ updates and clarifies the information previously posted on October 17, 2006.)

A: The term "Keogh" plan is not a term found in the Internal Revenue Code, but was a term used in the past to refer generally to certain defined contribution plans that covered self-employed individuals. Current law defines defined contribution plans and authorizes a deduction for contributions to them under Sections 401(a) and 404 of the Code. The IRS allowed deductions for contributions to defined contribution plans, including SEPs and SIMPLEs, by an affected taxpayer as long as the contribution was made by October 16, 2006.  If an additional six month extension of time to file was made on or before October 16, 2006, then contributions to certain defined contribution plans were extended to April 17, 2007.   Note: pursuant to section 219(f), contributions to IRAs were required to be made on or before October 16, 2006.

(1/23/07) Q:  Does the relief provided by the Service for affected taxpayers from the areas of Louisiana, Mississippi, and Alabama most severely damaged by Hurricane Katrina include the time to make contributions to an IRA?  If so, what is the last day to make an IRA contribution?  (Note: This FAQ updates and clarifies the information previously posted on August 25, 2006 and September 6, 2006.)

A:  The deadline for making contributions to an IRA was postponed but ended on October 16, 2006.  Notice 2006-20 stated that the time to perform the acts listed in section 301.7508A-1(c)(1) of the regulations were postponed to August 28, 2006.  Paragraph (iii) of such section listed the deadline for making IRA contributions.  However, the IRS allowed a contribution made to an IRA for tax year 2005 by an affected taxpayer as long as the contribution was made by October 16, 2006 pursuant to section 219(f).

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Page Last Reviewed or Updated: 05-Aug-2014