Saving Your Qualified Plan From CCH Details Latest Compliance Programs
(RIVERWOODS, ILL., August 8, 2001) The IRS is trying to make it easier for
retirement plans to correct qualification problems that could lead to the loss of valuable
tax benefits by the plan and the plans participants but only those
practitioners who understand what the IRS is trying to do are in a good position to take
advantage of these programs, according to CCH INCORPORATED (CCH), a leading provider of
tax, pension and business law information and software.
To bring those involved with retirement plans up to date with the totally revamped
correction programs issued in 2001 and show them how to take advantage of the latest IRS
initiatives, CCH has published a new edition of Saving Your Qualified Plan: IRS
Employee Plan Administrative Enforcement and Voluntary Compliance Programs for Pension
Plans, TSAs and SEPs, by Steven Leventhal, JD, LLM, (641 pages, $89. For more
information or to order, call 800-248-3248 or visit http://hr.cch.com/onlinestore).
Saving Your Qualified Plan squarely addresses how to return previously qualified
plans to compliance by using IRS correction programs under the Employee Plans Compliance
Resolution System (EPCRS) as set forth in Rev. Proc. 2001-7, issued in February of this
Practical Courses of Action
The current version of the EPCRS is the third official IRS restatement of the voluntary
compliance system. It renames and reorganizes previous programs and adds new ones. Author
Leventhal is the first to parse this massive document into usable parts and draw from them
practical courses of action for plan sponsor and administrators, and their legal advisors.
The opening chapters of Saving Your Qualified Plan discuss the historical
development of IRS compliance programs, explore the consequences of disqualification,
outline the key concepts and provisions of the EPCRS, examine failures relating to
qualified and 403(b) plans and show how established practices and procedures can prevent
problems. Leventhal then focuses on what happens when problems are discovered "on
examination" and just what "correction" may and may not entail. This
includes summaries of over 150 actual corrections that have been made under the various
programs from 1996-2000, along with a listing of the most common operational defects that
affect retirement plans.
Choosing the Right Program
In an especially useful chapter, Leventhal walks the reader through the process of
choosing the right correction program. He then provides chapter-length explanations of
each of the 10 new or revised programs that make up EPCRS: the Self-Correction Program
(SCP), the Voluntary Correction Program (VCP), Voluntary Correction of Operational
Failures (VCO), Voluntary Correction of Operational Failures Standardized (VCS),
Tax-Sheltered Annuities (VCT and more), Simplified Employee Pensions (VCSEPs and more),
Voluntary Correction of Group Failures (VCGroup), the Anonymous Submission Procedure,
Audit CAP and the Discrepancy Adjustment Program (DAP). Leventhal also shows how to use
the protections afforded by the remedial amendment period set forth in Code Sec. 401(b)
and favorable determination letters under Code Sec. 7805(b).
Two valuable appendices round out the coverage of the book. The first appendix
comprises 21 IRS and other agency documents, including the full text of Rev. Proc.
2001-17, sections from the Internal Revenue Manual Handbook and a recently-produced IRS
checklist of items on a Form 5500 return that may trigger an examination. The second
appendix contains nine interviews with IRS personnel conducted by CCH over the years that
provide unique and valuable insight into the thinking of the Service on a wide variety of
About the Author
Steven J. Leventhal, JD, LL.M. Taxation, is an executive editor for CCH INCORPORATED
and a nationally recognized expert in the area of qualified plans and plan compliance. He
is a frequent speaker before employee benefits groups on qualified plan compliance and all
aspects of tax-sheltered annuities.
As a former senior attorney and Group Chief with the IRS National Office Employee Plans
Division, Leventhal developed and wrote the IRS's first voluntary compliance programs for
Leventhal was granted exclusive interview privileges with the IRS on the Tax-Sheltered
Annuity Voluntary Correction (TVC) Program, as well as on all the EPCRS programs.
Availability and Pricing
For more information or to order the 641-page Saving Your Qualified Plan,
contact CCH at 1-800-248-3248 or visit http://hr.cch.com/onlinestore.
Single copy price is $89 plus applicable tax, shipping and handling. Quantity discounts
and school adoption pricing are available.
About CCH INCORPORATED
CCH INCORPORATED, headquartered in Riverwoods, Ill., was founded in 1913 and has
served four generations of business professionals and their clients. The company produces
more than 700 electronic and print products for the tax, legal, securities, insurance,
human resources, health care and small business markets. CCH is a wholly owned subsidiary
of Wolters Kluwer North America. The CCH web site can be accessed at www.cch.com. The CCH Human Resources Group web site can be accessed at http://hr.cch.com.
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