409A and a Chance to Fix Noncompliance
There’s an interesting article in LocalTechWire about Section 409A of Internal Revenue Code, which imposes detailed requirements – and serious penalities for noncompliance – on deferred compensation plans. Section 409A applies to many forms of compensation that aren’t always thought of as “deferred” and so holds many traps. The effective date of the section was delayed for several years due to the complexity of the issues involved (the final IRS regulations run more than 300 pages). The article notes that proposed IRS regulations may offer some relief from errors in documents implementing the plans.
- Comments Off on 409A and a Chance to Fix Noncompliance
