In Notice 2018-91, the Internal Revenue Service has announced there are no changes in qualification requirements on the 2018 Required Amendments List (RA List) for individually designed qualified retirement plans.
Generally, the RA List includes statutory and administrative changes in qualification requirements that are first effective during the plan year in which the list is published. However, the RA List does not include (1) guidance issued or legislation enacted after the list has been prepared; (2) qualification requirements for which the IRS expects to issue guidance, which would be included on an RA List in a future year; (3) changes in qualification requirements that permit, but do not require, optional plan provisions; or (4) changes in the tax laws affecting qualified plans that do not change the qualification requirements under IRC Sec. 401(a).
The history of the RA List is rooted in Revenue Procedure 2017-37, which modified the IRS determination letter program for qualified plans to eliminate (as of January 1, 2017) the five-year remedial amendment cycle system for individually designed retirement plans.
Under the new program, it is important to follow the IRS’s publication of updated amendments and incorporate them into an ongoing plan in a timely manner. Under Rev. Proc. 2016-37, the “remedial amendment period” (the period during which legally-required plan amendments must be adopted) runs through the end of the second plan year beginning after the IRS issues its RA List.