Proposed regulations address the calculation of amounts includible in income under section 409A(a) of the Code and the additional taxes imposed by such section with respect to a service provider participating in a nonqualified deferred compensation plan if such plan fails to meet the requirements of section 409A(a). A public hearing is scheduled for April 2, 2009.

Weighted average interest rate update; corporate bond indices; 30-year Treasury securities; segment rates. This notice contains updates for the corporate bond weighted average interest rate for plan years beginning in December 2008; the 24-month average segment rates; the funding transitional segment rates applicable for December 2008; and the minimum present value transitional rates for November 2008.

This notice provides taxpayers the ability to correct certain operational failures to comply with section 409A of the Code, or to limit the amount of additional taxes due to a failure to comply with section 409A. Section 409A provides rules governing the taxation of nonqualified deferred compensation plans. Notices 2006-100 and 2007-89 modified. Notice 2007-100 obsoleted.