Page:United States Statutes at Large Volume 95.djvu/307

 PUBLIC LAW 97-34—AUG. 13, 1981

95 STAT. 281

(f) PENALTIES FOR FAILURE TO PROVIDE NECESSARY REPORTS.—

Section 6652 is amended by redesignating subsection (h) as subsection 26 USC 6652. (i) and inserting after subsection (g) the following new subsection: "(h) INFORMATION REQUIRED IN CONNECTION WITH DEDUCTIBLE EMPLOYEE CONTRIBUTIONS.—In the case of failure to make a report

required by section 219(f)(4) which contains the information required Ante, p. 274. by such section on the date prescribed therefor (determined with regard to any extension of time for filing), there shall be paid (on notice and demand by the Secretary and in the same manner as tax) by the person failing so to file, an amount equal to $25 for each participant with respect to whom there was a failure to file such information, multiplied by the number of years during which such failure continues, but the total amount imposed under this subsection on any person for failure to file shall not exceed $10,000." (g) AMENDMENTS RELATING TO INCREASE IN IRA LIMITATIONS.—

(1) The following provisions are each amended by striking out "$1,500" each place it appears and inserting in lieu thereof "$2,000": (A) Section 408(a)(l) (defining individual retirement 26 USC 408. account). (B) Section 4080t)) (defuiing individual retirement annuity). (C) Section 408(j) (relating to increase in maximum limitations for simplified employee pensions). (D) Section 409(a)(4) (defining retirement bond). 26 USC 409. (2) Subparagraph (A) of section 408(d)(5) is amended by striking out "$1,750" and inserting in lieu thereof "$2,250". (3) Subparagraph (A) of section 409(b)(3) (relating to redemption within 12 months) is amended by adding the following sentence at the end thereof: "The preceding sentence shall not apply to the extent that the bond was purchased with a rollover contribution described in subparagraph (C) of this paragraph or in section 402(a)(5), 402(a)(7), 403(a)(4), 403(b)(8), 405(b)(3), or 408(d)(3)." (4)(A) Paragraph (2) of section 415(a) is amended to read as 26 USC 415. follows: "(2) SECTION APPLIES TO CERTAIN ANNUITIES AND ACCOUNTS.—In

the case of— "(A) an employee annuity plan described in section 403(a), "(B) an annuity contract described in section 403(b), "(C) a simplified employee pension described in section 408(k),or "(D) a plan described in section 405(a), such a contract, plan, or pension shall not be considered to be described in section 403(a), 4030t)), 405(a), or 408(k), as the case may be, unless it satisfies the requirements of subparagraph (A) or subparagraph (B) of paragraph (1), whichever is appropriate, and has not been disqualified under subsection (g). In the case of an annuity contract described in section 4030t)), the preceding sentence shall apply only to the portion of the annuity contract which exceeds the limitation of subsection (b) or the limitation of subsection (c), whichever is appropriate, and the amount of the contribution for such portion shall reduce the exclusion allowance as provided in section 4030t)X2)." (B) The last sentence of paragraph (2) of section 415(c) is amended to read as follows: "For the purposes of this paragraph, employee contributions under subparagraph (B) are determined without regard to any rollover contributions (as defined in sections 402(a)(5), 403(a)(4), 403(b)(8), 405(d)(3), 408(d)(3), and

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