The IRS has released Notice 2020-50 expanding the definition of ‘qualified individuals’ for the purpose of coronavirus-related distributions and loans from retirement plans without a tax penalty.
In the article, “IRS Expands COVID-19 Retirement Plan Relief,” Groom principal Elizabeth Dold discussed this new guidance with Tax Notes stating, “As anticipated, the [coronavirus-related distribution] guidance largely tracks Notice 2005-92 [2005-2 C.B. 1165] and provides some important clarifications and expansions that will facilitate participants’ use of this much-needed relief.”
Dold said another significant provision permits cancellation of a deferral election under a nonqualified deferred compensation plan.
To read the article, click here.