Page:United States Statutes at Large Volume 122.djvu/5134

 12 2 STA T .5 111 PUBLIC LA W 11 0–4 5 8—DE C.2 3, 2008 SEC.109 . AM E ND MEN T S R E L ATED T O T I TLE I X. (a)AMEND MEN TR E LA TED T OS E C T I ON 901.— S ection4 01(a)( 35 )( E )(i v )o f t h e19 86C o d ei s a m ended to r ead as fo l lo w s

‘(iv) O NE -P A R TICIPANT RETIREMENT PLAN.— F or pu rposes of clause (iii) , the term ‘one-participant retire- ment plan ’ means a retirement plan that on the first da y of the plan year— ‘‘( I ) covered only one individual (or the indi- vidual and the individual’s spouse) and the indi- vidual (or the individual and the individual’s spouse) owned 100 percent of the plan sponsor (whether or not incorporated), or ‘‘(II) covered only one or more partners (or partners and their spouses) in the plan sponsor.’’. ( b ) AMENDMENT S RELATED TO SECTION 90 2 .— (1) Section 401( k )(13)( D )(i)(I) of the 1986 Code is amended by strikin g ‘‘such compensation as e x ceeds 1 percent but does not’’ and inserting ‘‘such contributions as exceed 1 percent but do not’’. (2) Sections 401(k)(8)(E) and 411(a)(3)( G ) of the 1986 Code are each amended— (A) by striking ‘‘an erroneous automatic contribution’’ and inserting ‘‘a permissible withdrawal’’, and ( B ) by striking ‘‘ERRONEO U S AUTOMATIC CONTRI B UTION’’ in the heading and inserting ‘‘PERMISSIBLE W IT H DRAWAL’’. (3) Section 402(g)(2)(A)(ii) of the 1986 Code is amended by inserting ‘‘through the end of such taxable year’’ after ‘‘such amount’’. (4) Section 414(w)(3) of the 1986 Code is amended— (A) in subparagraph (B), by inserting ‘‘and’’ after the comma at the end, (B) by striking subparagraph (C), and (C) by redesignating subparagraph (D) as subpara- graph (C). (5) Section 414(w)(5) of the 1986 Code is amended by striking ‘‘and’’ at the end of subparagraph (B), by striking the period at the end of subparagraph (C) and inserting a comma, and by adding at the end the following: ‘‘(D) a simplified employee pension the terms of which provide for a salary reduction arrangement described in section 408(k)(6), and ‘‘(E) a simple retirement account (as defined in section 408(p)).’’. (6) Section 414(w)(6) of the 1986 Code is amended by inserting ‘‘or for purposes of applying the limitation under section 402(g)(1)’’ before the period at the end. (c) AMENDMENTS RELATED TO SECTION 903.— (1) AMENDMENT O F1986 CODE.—Section 414(x)(1) of the 1986 Code is amended by adding at the end of paragraph (1) the following new sentence: ‘‘In the case of a termination of the defined benefit plan and the applicable defined contribu- tion plan forming part of an eligible combined plan, the plan administrator shall terminate each such plan separately.’’ (2) AMENDMENTS OF ERISA.—Section 210(e) of ERISA is amended— (A) by adding at the end of paragraph (1) the following new sentence: ‘‘In the case of a termination of the defined 29USC106 0 . 26 USC 4 14. 26 USC 402. 26 USC 411. 26 USC 401.

�