Governmental Plans under Internal Revenue Code Section 401(a) - Recent Developments


Determination letters

Normal retirement age

  • Summary – guidance under consideration would affect normal retirement age rules for governmental plans and extend the effective date of the 2007 normal retirement age regulations.
  • REG–147310–12, 2016-07 I.R.B. 336
    Proposed regulations that would provide rules on determining whether the normal retirement age under a governmental pension plan satisfies IRC Section 401(a) and whether the payment of definitely determinable benefits that commence at the plan’s normal retirement age satisfies these requirements. They would affect governmental pension plans sponsors, administrators and participants.


  • Memorandum PDF – Processing of Governmental Plans Determination Letter Applications with respect to Vesting Issues (April 30, 2012)

Possible approaches to governmental plan guidance

The IRS and Department of Treasury solicited comments in 2012 on possible standards for determining if a retirement plan is a governmental plan under section 414(d) of the Internal Revenue Code and have announced guidance under consideration that would affect normal retirement age rules and extend the effective date of the 2007 NRA regulations.