Page:United States Statutes at Large Volume 102 Part 4.djvu/488

 102 STAT. 3458

26 USC 402 note.

PUBLIC LAW 100-647—NOV. 10, 1988 (B) Section 402(g) of the 1986 Code, as added by section 1854(f)(2) of the Reform Act, is redesignated as subsection 0')(Q Section 1854(0(4)(C) of the Reform Act is amended by striking out "section 402(g)" and inserting in lieu thereof "section 402(j)". (7)(A) Section 401(a) of the 1986 (Ik)de is amended by adding at the end thereof the following new paragraph: "(30) LIMITATIONS ON ELECTIVE DEFERRALS.—In the case of a trust which is part of a plan under which elective deferrals (within the meaning of section 402(g)(3)) may be made with respect to any individual during a calendar year, such trust shall not constitute a qualified trust under this subsection unless the plan provides that the amount of such deferrals under such plan and all other plans, contracts, or arrangements of an employer maintaining such plan may not exceed the amount of the limitation in effect under section 402(g)(l) for taxable years beginning in such calendar year." (B) Section 403a>Xl) of the 1986 Code is amended by striking out "and" at the end of subparagraph (CJ), by inserting "and" at the end of subparagraph (D), and by inserting after subparagraph (D) the following new subparagraph: "(E) in the case of a contract purchased under a plan which provides a salary reduction agreement, the plan meets the requirements of section 401(a)(30),". (Q Subparagraph (A) of section 408(k)(6) of the 1986 Code, as amended by subsection (f)(l), is amended by adding at the end thereof the following new clause: "(iv) LIMITATIONS ON ELECTIVE DEFERRALS.—(Dlause (i)

26 USC 401 note.

26 USC 402 note.

shall not apply to a simplified employee pension unless the requirements of section 401(a)(30) are met." (D) Subparagraph (D) of section 501(c)(18) of the 1986 Code is amended by striking out "and" at the end of clause (ii), by striking out the period at the end of clause (iii) and inserting in lieu thereof ", and", and by inserting after clause (iii) the following new clause: "(iv) the requirements of section 401(a)(30) are met." (EXD Elxcept as provided in clause (ii), the amendments made by this paragraph shall apply to plan years beginning after December 31, 1987. (ii) In the case of a plan described in section 1105(c)(2) of the Reform Act, the amendments made by this paragraph shall not apply to contributions made pursuant to an agreement described in such section for plan years beginning before the earlier of— (1) the later of January 1, 1988, or the date on which the last of such agreements terminates (determined without r^ard to any extension thereof after February 28, 1986), or (ID January 1, 1989. (8) Section 1105(c)(2)(A) of the Reform Act is amended by striking out "the last of such collective bargaining agreements' and inserting in lieu thereof "such agreement". (9) Section 1105(c) of the Reform Act is amended by adding at the end thereof the following new paragraph: "(6) REPORTING REQUIREMENTS.—The amendments made by subsection (b) shall apply to calendar years b a n n i n g after December 31, 1986."

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