n-18-24.pdf

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REQUEST FOR COMMENTS ON SCOPE OF DETERMINATION LETTER PROGRAM
FOR INDIVIDUALLY DESIGNED PLANS DURING CALENDAR YEAR 2019

Notice 2018-24

PURPOSE

This notice requests comments on the potential expansion of the scope of the
determination letter program for individually designed plans during the 2019 calendar
year, beyond provision of determination letters for initial qualification and qualification
upon plan termination. In reviewing comments submitted in response to this notice, the
Department of the Treasury (Treasury Department) and the Internal Revenue Service
(IRS) will consider the factors regarding the scope of the determination letter program
set forth in section 4.03(3) of Revenue Procedure 2016-37, 2016-29 I.R.B. 136. The
Treasury Department and the IRS will issue guidance if they identify any additional
types of plans for which plan sponsors may request determination letters during the
2019 calendar year.

BACKGROUND

Revenue Procedure 2016-37 sets forth procedures for issuing determination
letters and describes an extension of the remedial amendment period for individually
designed plans. Effective January 1, 2017, the sponsor of an individually designed plan
may submit a determination letter application only for initial plan qualification, for
qualification upon plan termination, and in certain other limited circumstances identified
in subsequent published guidance. Section 4.03(3) of Rev. Proc. 2016-37 provides that
the Treasury Department and the IRS will consider each year whether to accept
determination letter applications for individually designed plans in specified
circumstances other than for initial qualification and qualification upon plan termination.

REQUEST FOR COMMENTS

Comments are requested on specific types of plans for which the Treasury
Department and the IRS should consider accepting determination letter applications
during calendar year 2019 in circumstances other than for initial qualification and
qualification upon plan termination. As provided in section 4.03(3) of
Rev. Proc. 2016-37, circumstances for consideration include, for example, significant
law changes, new approaches to plan design, and the inability of certain types of plans
to convert to pre-approved plan documents. Comments that suggest expanding the
scope of the program for a particular type of plan should not merely state the type of
plan, but should also specify the issues applicable to that type of plan that would justify
review of that particular plan type under the determination letter program. Such issues

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may include specific plan features and special plan designs applicable to that type of
plan, or unresolved questions of qualification in form with respect to that type of plan.

Comments may be submitted in writing on or before June 4, 2018. Comments
should be mailed to Internal Revenue Service, CC:PA:LPD:PR (Notice 2018-24),
Room 5203, P.O. Box 7604, Ben Franklin Station, Washington, D.C. 20044, or sent
electronically to notice.comments@irscounsel.treas.gov. Please include
“Notice 2018-24” in the subject line of any electronic communications. Alternatively,
comments may be hand delivered Monday through Friday between the hours of
8:00 a.m. and 4:00 p.m. to CC:PA:LPD:PR (Notice 2018-24), Courier’s Desk, Internal
Revenue Service, 1111 Constitution Ave., NW, Washington, D.C. All comments will be
available for public inspection and copying.

DRAFTING INFORMATION

The principal author of this notice is Angelique Carrington of the Office of
Associate Chief Counsel (Tax Exempt and Government Entities). For further
information regarding this notice, contact Ms. Carrington at (202) 317-4148 (not a toll-
free number).