Bulletin No. 2022–34

HIGHLIGHTS

OF THIS ISSUE





Bulletin No. 2022–34

August 22, 2022

These synopses are intended only as aids to the reader in

identifying the subject matter covered. They may not be

relied upon as authoritative interpretations.

EMPLOYEE PLANS

Notice 2022-33, page 147.

Notice 2022-33 extends the deadlines for amending a

retirement plan or IRA to reflect the provisions of Division O of the Further Consolidated Appropriations Act,

2020, Pub. L. 116-94, 133 Stat. 2534 (2019), known

as the Setting Every Community Up for Retirement

Enhancement Act of 2019 (SECURE Act) and section

104 of Division M of the Further Consolidated Appropriations Act, 2020, known as the Bipartisan American

Miners Act of 2019. In addition, this notice extends

the deadline for amending a retirement plan to reflect

the provisions of section 2203 of the Coronavirus Aid,

Relief, and Economic Security Act, Pub. L. 116-136,

134 Stat. 281 (2020). With respect to amendments

made to reflect provisions of the SECURE Act, the notice

also provides relief from the anti-cutback requirements

of section 411(d)(6) of the Code or section 204(g) of

the Employee Retirement Income Security Act of 1974,

Pub. L. 93-406, 88 Stat. 829, as amended.

INCOME TAX

Notice 2022-34, page 150.

This Notice announces that the Department of the Treasury (Treasury Department) and the Internal Revenue

Finding Lists begin on page ii.

Service (IRS) intend to amend the regulations under

section 987 to defer the applicability date of the

final regulations under section 987, as well as certain related final regulations, by one additional year.

The applicability date of these regulations has been

deferred under prior notices to taxable years beginning

after December 7, 2022. The Treasury Department and

the IRS intend to amend §§1.861-9T, 1.985-5, 1.98711, 1.988-1, 1.988-4, and 1.989(a)-1 of the 2016 final

regulations and §§1.987-2 and 1.987-4 of the 2019

final regulations (the related 2019 final regulations) to

provide that the 2016 final regulations and the related

2019 final regulations apply to taxable years beginning

after December 7, 2023. The Notice also states that

taxpayers may rely on certain related proposed regulations that cross-reference temporary regulations which

have expired.

T.D. 9963, page 145.

Final regulations relating to the requirements for

making a valid election to adjust the basis of partnership property in the case of a distribution of property

by the partnership or a transfer of an interest in the

partnership. The regulations affect partnerships and

their partners by removing a regulatory burden in

making an election to adjust the basis of partnership

property.

The IRS Mission

Provide America’s taxpayers top-quality service by helping

them understand and meet their tax responsibilities and

enforce the law with integrity and fairness to all.

Introduction

The Internal Revenue Bulletin is the authoritative instrument

of the Commissioner of Internal Revenue for announcing official rulings and procedures of the Internal Revenue Service

and for publishing Treasury Decisions, Executive Orders, Tax

Conventions, legislation, court decisions, and other items of

general interest. It is published weekly.

It is the policy of the Service to publish in the Bulletin all substantive rulings necessary to promote a uniform application

of the tax laws, including all rulings that supersede, revoke,

modify, or amend any of those previously published in the

Bulletin. All published rulings apply retroactively unless otherwise indicated. Procedures relating solely to matters of internal management are not published; however, statements of

internal practices and procedures that affect the rights and

duties of taxpayers are published.

Revenue rulings represent the conclusions of the Service

on the application of the law to the pivotal facts stated in

the revenue ruling. In those based on positions taken in rulings to taxpayers or technical advice to Service field offices,

identifying details and information of a confidential nature are

deleted to prevent unwarranted invasions of privacy and to

comply with statutory requirements.

Rulings and procedures reported in the Bulletin do not have the

force and effect of Treasury Department Regulations, but they

may be used as precedents. Unpublished rulings will not be

relied on, used, or cited as precedents by Service personnel in

the disposition of other cases. In applying published rulings and

procedures, the effect of subsequent legislation, regulations,

court decisions, rulings, and procedures must be considered,

and Service personnel and others concerned are cautioned

against reaching the same conclusions in other cases unless

the facts and circumstances are substantially the same.

The Bulletin is divided into four parts as follows:

Part I.—1986 Code.

This part includes rulings and decisions based on provisions

of the Internal Revenue Code of 1986.

Part II.—Treaties and Tax Legislation.

This part is divided into two subparts as follows: Subpart A,

Tax Conventions and Other Related Items, and Subpart B,

Legislation and Related Committee Reports.

Part III.—Administrative, Procedural, and Miscellaneous.

To the extent practicable, pertinent cross references to these

subjects are contained in the other Parts and Subparts. Also

included in this part are Bank Secrecy Act Administrative

Rulings. Bank Secrecy Act Administrative Rulings are issued

by the Department of the Treasury’s Office of the Assistant

Secretary (Enforcement).

Part IV.—Items of General Interest.

This part includes notices of proposed rulemakings, disbarment and suspension lists, and announcements.

The last Bulletin for each month includes a cumulative index

for the matters published during the preceding months. These

monthly indexes are cumulated on a semiannual basis, and are

published in the last Bulletin of each semiannual period.

The contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.

August 22, 2022 

Bulletin No. 2022–34

Part I

26 CFR 1.754-1: Time and manner of making

elections to adjust basis of partnership property

T.D. 9963

DEPARTMENT OF THE

TREASURY

Internal Revenue Service

26 CFR Part 1

Streamlining the Section

754 Election Statement

AGENCY: Internal Revenue Service

(IRS), Treasury.

ACTION: Final regulations.

SUMMARY: This document contains

final regulations relating to the requirements for making a valid election to

adjust the basis of partnership property in

the case of a distribution of property by

the partnership or a transfer of an interest in the partnership. These regulations

affect partnerships and their partners by

removing a regulatory burden in making

an election to adjust the basis of partnership property.

DATES: Effective date: These regulations

are effective on August 5, 2022.

Applicability date: For dates of applicability, see §1.754-1(d).

FOR FURTHER INFORMATION

CONTACT: Charles D. Wien, at (202)

317-5279 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

This document contains amendments

to the Income Tax Regulations (26 CFR

part 1) under section 754 of the Internal

Revenue Code (Code). Section 754 provides that if a partnership files an election

(section 754 election), in accordance with

regulations prescribed by the Secretary of

the Treasury or her delegate (Secretary),

Bulletin No. 2022–34

the basis of partnership property shall be

adjusted, in the case of a distribution of

property, in the manner provided in section 734 and, in the case of a transfer of

a partnership interest, in the manner provided in section 743. The section 754

election applies with respect to all distributions of property by the partnership and

to all transfers of interests in the partnership during the taxable year with respect

to which the election was filed and all

subsequent taxable years. The section 754

election may be revoked by the partnership, subject to such limitations as may be

provided by regulations prescribed by the

Secretary.

Section 1.754-1(b) prescribes the

requirements for making the section 754

election. Generally, a partnership makes

the section 754 election in a written statement (section 754 election statement)

filed with the partnership return (whether

filed electronically or on paper) for the

taxable year during which the distribution or transfer occurs. For the section

754 election to be valid, the return must

be filed not later than the time prescribed

for filing the return for such taxable year,

including extensions. Under §1.754-1(b)

of the existing regulations, one of the partners must sign the section 754 election

statement.

On October 12, 2017, the Department

of the Treasury (Treasury Department)

and the IRS published a notice of proposed

rulemaking (REG-116256-17) in the Federal Register (82 FR 47408) to remove

the signature requirement from §1.7541(b). The IRS did not receive any substantive written public comments in response

to the notice of proposed rulemaking. No

public hearing was requested or held.

Therefore, the proposed regulations are

adopted by this Treasury decision without

change.

Special Analyses

I. Regulatory Planning and Review

These regulations are not subject to

review under section 6(b) of Executive

Order 12866 pursuant to the Memorandum of Agreement (April 11, 2018)

between the Treasury Department and the

145

Office of Management and Budget regarding review of tax regulations.

II. Regulatory Flexibility Act

It is hereby certified that these regulations will not have a significant economic

impact on a substantial number of small

entities under the Regulatory Flexibility

Act (5 U.S.C. chapter 6). This certification

is based on the fact that these regulations

reduce the information currently required

to be collected in making an election to

adjust the basis of partnership property

and thereby will reduce burden on small

entities. Accordingly, a regulatory flexibility analysis is not required. Pursuant to

section 7805(f) of the Code, the notice of

proposed rulemaking preceding these regulations was submitted to the Chief Counsel for the Office of Advocacy of the Small

Business Administration for comment

on its impact on small business, and no

comments were received from the Chief

Counsel for the Office of Advocacy of the

Small Business Administration.

III. Unfunded Mandates Reform Act

Section 202 of the Unfunded Mandates

Reform Act of 1995 (UMRA) requires

that agencies assess anticipated costs and

benefits and take certain other actions

before issuing a final rule that includes

any Federal mandate that may result in

expenditures in any one year by a state,

local, or tribal government, in the aggregate, or by the private sector, of $100 million in 1995 dollars, updated annually for

inflation. This rule does not include any

Federal mandate that may result in expenditures by state, local, or tribal governments, or by the private sector in excess of

that threshold.

IV. Executive Order 13132 Federalism

Executive Order 13132 (entitled

“Federalism”) prohibits an agency from

publishing any rule that has federalism

implications if the rule either imposes

substantial, direct compliance costs on

state and local governments, and is not

required by statute, or preempts state law,

unless the agency meets the consultation

August 22, 2022

and funding requirements of section

6 of the Executive Order. These proposed regulations do not have federalism

implications and do not impose substantial direct compliance costs on state and

local governments or preempt state law

within the meaning of the Executive

Order.

V. Paperwork Reduction Act

Under the Paperwork Reduction Act

(44 U.S.C. 3501 et seq.), an agency may

not conduct or sponsor and a person is

not required to respond to a collection

of information unless it displays a valid

control number assigned by the Office of

Management and Budget. The information

collection described in this final rule has

been assigned control number 1545-0123.

Drafting Information

The principal author of these regulations is Charles D. Wien of the

Office of the Associate Chief Counsel

(Passthroughs and Special Industries).

However, other personnel from the Treasury Department and the IRS participated

in their development.

August 22, 2022

List of Subjects in 26 CFR part 1

Income taxes, Reporting and recordkeeping requirements.

Adoption of Amendments to the

Regulations

Accordingly, 26 CFR part 1 is amended

as follows:

PART 1–INCOME TAXES

Paragraph 1. The authority citation for part

1 is amended by adding an entry for §1.754-1

in numerical order to read as follows:

Authority: 26 U.S.C. 7805 * * *

*****

Section 1.754-1 also issued under 26

U.S.C. 754.

*****

Par. 2. Section 1.754-1 is amended by

revising the fourth sentence of paragraph

(b)(1) and adding paragraph (d) to read as

follows:

§1.754-1 Time and manner of making

election to adjust basis of partnership

property.

(b) * * *

(1) * * * The statement required by this

paragraph (b)(1) must set forth the name

and address of the partnership making the

election and contain a declaration that the

partnership elects under section 754 to

apply the provisions of section 734(b) and

section 743(b). * * *

*****

(d) Applicability date. The fourth sentence of paragraph (b)(1) of this section

applies to taxable years ending on or after

August 5, 2022. Taxpayers may, however,

apply the fourth sentence of paragraph (b)

(1) of this section to taxable years ending

before August 5, 2022.

Approved: June 7, 2022.

Douglas W. O’Donnell,

Deputy Commissioner for Services

and Enforcement.

Lily Batchelder,

Assistant Secretary of the Treasury

(Tax Policy).

(Filed by the Office of the Federal Register on August

8, 2022, 08:45 a.m., and published in the issue of the

Federal Register for August 5, 2022, 87 FR 47931)

*****

146

Bulletin No. 2022–34

Part III

Notice 2022-33

I. PURPOSE

This notice extends the deadlines for

amending a retirement plan or individual

retirement arrangement (IRA) to reflect

certain provisions of Division O of the

Further Consolidated Appropriations

Act, 2020, Pub. L. 116-94, 133 Stat. 2534

(2019), known as the Setting Every Community Up for Retirement Enhancement

Act of 2019 (SECURE Act), and section

104 of Division M of the Further Consolidated Appropriations Act, 2020, known

as the Bipartisan American Miners Act of

2019 (Miners Act), by modifying Notice

2020-68, 2020-38 IRB 567, and Notice

2020-86, 2020-53 IRB 1786. In addition, this notice extends the deadline for

amending a retirement plan to reflect the

provisions of section 2203 of the Coronavirus Aid, Relief, and Economic Security

Act (CARES Act), Pub. L. 116-136, 134

Stat. 281 (2020).

Under this notice, the extended amendment deadline for (1) a qualified retirement plan or section 403(b) plan (including an applicable collectively bargained

plan) that is not a governmental plan or

(2) an IRA is December 31, 2025. Later

deadlines apply with respect to governmental retirement plans (including governmental plans under section 457(b) of

the Internal Revenue Code (Code)). Pursuant to these modifications, with respect

to an amendment made to reflect provisions of the SECURE Act, the period

during which the amendment is eligible, if

applicable, for relief from the anti-cutback

requirements of section 411(d)(6) of the

Code or section 204(g) of the Employee

Retirement Income Security Act of 1974,

Pub. L. 93-406, 88 Stat. 829, as amended

(ERISA), is extended to the applicable

extended plan amendment deadline.1

II. BACKGROUND

A. In General

1. Section 401(b) of the Code

Section 401(b) of the Code provides

a remedial amendment period during

which a plan may be amended retroactively to comply with the Code’s qualification requirements. Section 1.401(b)-1

of the Income Tax Regulations describes

the disqualifying provisions that may be

amended retroactively and the remedial

amendment period during which retroactive amendments may be adopted. The

regulations also grant the Commissioner

of Internal Revenue (Commissioner) the

discretion to designate certain plan provisions as disqualifying provisions and to

extend the remedial amendment period.

Section 1.401(b)-1 provides that a

plan that fails to satisfy the requirements

of section 401(a) solely as a result of a

disqualifying provision defined under

§ 1.401(b)‑1(b) need not be amended to

comply with those requirements until

the last day of the remedial amendment

period with respect to the disqualifying

provision, provided the amendment is

made retroactively effective to the beginning of the remedial amendment period.

Under § 1.401(b)-1(b)(3), a disqualifying provision includes a plan provision

designated, at the Commissioner’s discretion, as a disqualifying provision that

either (1) results in the failure of the plan

to satisfy the qualification requirements of

the Code by reason of a change in those

requirements or (2) is integral to a qualification requirement of the Code that has

been changed. Section 1.401(b)-1(c)(1)

provides that a disqualifying provision

under § 1.401(b)-1(b)(3) includes a provision integral to the applicable change

in the qualification requirements of the

Code, if the plan was in effect on the date

the change in those requirements became

effective with respect to the plan.

For a disqualifying provision described

in § 1.401(b)-1(b)(3), § 1.401(b)-1(d)(1)

(iv) and (v) provides that the remedial

amendment period begins on the date

on which the change becomes effective

with respect to the plan or, in the case of

a provision that is integral to a qualification requirement that has been changed,

the first day on which the plan is operated in accordance with the provision as

amended. In the case of a plan maintained

by one employer, § 1.401(b)-1(d)(2)(i)

and (ii) provides that the remedial amendment period for a disqualifying provision described in § 1.401(b)-1(b)(3) ends

on the later of: (1) the due date (including extensions) for filing the income tax

return for the employer’s taxable year that

includes the date on which the remedial

amendment period begins or (2) the last

day of the plan year that includes the date

on which the remedial amendment period

begins. In the case of a plan maintained by

more than one employer, § 1.401(b)‑1(d)

(2)(iii) provides that the remedial amendment period ends on the last day of the

tenth month following the last day of the

plan year in which the remedial amendment period begins.

2. Rev. Proc. 2016-37 and Rev. Proc.

2019-39

Rev. Proc. 2016-37, 2016-29 IRB 136,2

sets forth plan amendment deadlines for

qualified plans that apply except as otherwise provided by statute or in regulations

or other guidance published in the Internal Revenue Bulletin. For example, for an

individually designed qualified plan that is

not a governmental plan (within the meaning of section 414(d) of the Code), the

plan amendment deadline for a disqualifying provision with respect to a change in

qualification requirements is the last day

With respect to pre-approved plans, the extended plan amendment deadlines apply to both interim and discretionary amendments. It is anticipated that the cumulative list for the fourth

remedial amendment cycle for pre-approved defined contribution plans (pre-approved plans for which the opinion letter application submission window falls between February 1, 2024, and

January 31, 2025) will include provisions of the SECURE Act, Miners Act, and CARES Act. Accordingly, it is anticipated that the pre‑approved defined contribution plans submitted for that

cycle will need to include provisions that reflect provisions of the SECURE Act, Miners Act, and CARES Act.

2

For purposes of this notice, references to Rev. Proc. 2016-37 are to Rev. Proc. 2016-37, as modified by Rev. Proc. 2017-41, 2017-29 IRB 92, Rev. Proc. 2019-20, 2019-20 IRB 1182, Rev.

Proc. 2020-40, 2020‑38 IRB 575, and Rev. Proc. 2021-38, 2021-38 IRB 425.

1

Bulletin No. 2022–34

147

August 22, 2022

of the second calendar year that begins

after the issuance of the Required Amendments List (RA List) in which the change

in qualification requirements appears, and

the plan amendment deadline for a discretionary amendment is the end of the plan

year in which the plan amendment is operationally put into effect. Rev. Proc. 201939, 2019-42 IRB 945,3 sets forth similar

plan amendment deadlines for section

403(b) plan form defects first occurring

after June 30, 2020, and for discretionary

amendments made to section 403(b) plans

with respect to plan years beginning on or

after January 1, 2020. Although these revenue procedures provide plan amendment

deadlines, they do not provide relief from

the anti‑cutback requirements of section

411(d)(6) of the Code or section 204(g)

of ERISA, if applicable, for amendments

adopted by those deadlines.

B. SECURE Act and Miners Act

414(d) governmental plan, the last day of

the first plan year beginning on or after

January 1, 2024, or such later date as the

Secretary may prescribe (the section 601

date);

(2) the amendment applies retroactively to the effective date of the SECURE

Act provision or the regulations thereunder (or, in the case of an amendment not

required by a provision of the SECURE

Act or the regulations thereunder, the

effective date specified by the plan); and

(3) the plan or contract is operated as

if the amendment were in effect during

the period beginning on the effective date

of the SECURE Act provision or the regulations thereunder (or, in the case of an

amendment not required by a provision of

the SECURE Act or the regulations thereunder, the effective date specified by the

plan or contract) and ending on the section

601 date or, if earlier, the date the amendment is adopted.

1. Section 601 of the SECURE Act

2. Section 104 of the Miners Act

Section 601 of the SECURE Act provides, in general, that a retirement plan or

annuity contract will be treated as being

operated in accordance with the terms

of the plan during the period described

in clause (3) of this section II.B.1 and,

except as provided by the Secretary of the

Treasury (Secretary), or the Secretary’s

delegate, a retirement plan will not fail to

satisfy the anti-cutback requirements of

section 411(d)(6) of the Code or section

204(g) of ERISA,4 as a result of a plan

amendment made pursuant to a provision

of the SECURE Act or the regulations

thereunder, provided that:

(1) the amendment is adopted no later

than the last day of the first plan year

beginning on or after January 1, 2022, or,

for an applicable collectively bargained

plan (a plan maintained pursuant to one

or more collective bargaining agreements

between employee representatives and

one or more employers ratified before

December 20, 2019) in the case of section

401 of the SECURE Act, or for a section

Section 104(a) of the Miners Act

amends section 401(a)(36) of the Code

to lower the minimum age for allowable

in-service distributions from a qualified

pension plan from age 62 to age 59½.

Section 104(b) of the Miners Act amends

the distribution requirements of section

457(d)(1)(A)(i) of the Code to provide

that, in the case of a governmental plan

under section 457(b) of the Code, amounts

under the plan may be made available to a

participant as early as the calendar year in

which the participant attains age 59½.

3. Notice 2020-68

Q&A G-1 of Notice 2020-68 sets forth

deadlines for adopting retirement plan

amendments relating to certain provisions

of the SECURE Act, the regulations thereunder, and section 104 of the Miners Act.

Q&A G-1(a) of Notice 2020-68 provides, in part, that, in general, for a qualified plan that is not a governmental plan

within the meaning of section 414(d), or

an applicable collectively bargained plan,

the deadline to amend a plan for provisions of the SECURE Act, the regulations

thereunder, or section 104 of the Miners

Act is the last day of the first plan year

beginning on or after January 1, 2022. The

plan amendment deadline for a governmental plan within the meaning of section

414(d) of the Code, or for an applicable

collectively bargained plan is the last day

of the first plan year beginning on or after

January 1, 2024.

Q&A G-1(b) of Notice 2020-68 provides, in part, that, in general, the deadline

for a section 403(b) plan that is not maintained by a public school, as described in

section 403(b)(1)(A)(ii), to amend a plan

for provisions of the SECURE Act or the

regulations thereunder is the last day of the

first plan year beginning on or after January 1, 2022. The plan amendment deadline for a section 403(b) plan that is maintained by a public school, as described in

section 403(b)(1)(A)(ii), is the last day of

the first plan year beginning on or after

January 1, 2024.

Q&A G-1(c) of Notice 2020-68 provides that the deadline to amend a governmental plan under section 457(b) for

provisions of the SECURE Act, the regulations thereunder, or section 104 of the

Miners Act is the later of (i) the last day

of the first plan year beginning on or after

January 1, 2024, or (ii) if applicable, the

first day of the first plan year beginning

more than 180 days after the date of notification by the Secretary that the plan was

administered in a manner that is inconsistent with the requirements of section

457(b) of the Code.

Q&A G-1(d) of Notice 2020-68 provides, in part, that the deadline to amend

the trust governing an IRA that is an individual retirement account or the contract

issued by an insurance company with

respect to an IRA that is an individual

retirement annuity for provisions of the

SECURE Act or the regulations thereunder is December 31, 2022, or such

later date as the Secretary prescribes in

guidance.

For purposes of this notice, references to Rev. Proc. 2019-39 are to Rev. Proc. 2019-39, as modified by Notice 2020-35, 2020-25 IRB 948, Rev. Proc. 2020-40, and Rev. Proc. 2021-37,

2021-38 IRB 385.

4

Section 411(d)(6) provides, generally, that a plan will not satisfy section 401(a) if an amendment to the plan decreases a participant’s accrued benefit. For this purpose, a plan amendment

that has the effect of eliminating or reducing an early retirement benefit or a retirement-type subsidy or eliminating an optional form of benefit with respect to benefits attributable to service

before the amendment is treated as reducing accrued benefits. Section 204(g) of ERISA provides parallel rules to the rules of section 411(d)(6) of the Code. The Internal Revenue Service

(IRS) has interpretive authority over section 204(g) of ERISA pursuant to Reorganization Plan No. 4 of 1978, 5 U.S.C. App.

3

August 22, 2022

148

Bulletin No. 2022–34

4. Notice 2020-86

Notice 2020-86 provides guidance in

the form of questions and answers with

respect to sections 102 and 103 of the

SECURE Act, including guidance relating to plan amendments. For example,

Q&A‑2 of Notice 2020‑86 generally provides that if a plan incorporates by reference the automatic contribution maximum

qualified percentage of section 401(k)(13)

(C)(iii) of the Code and the plan continues to apply the maximum qualified percentage of 10 percent that applied before

section 401(k)(13)(C)(iii) was amended

by section 102(a) of the SECURE Act,

then the plan would need to be amended

on or before the plan amendment deadline determined under section 601(b) of

the SECURE Act, as described in Q&A

G‑1 of Notice 2020‑68. The amendment

would need to provide explicitly that

the plan’s maximum qualified percentage is 10 percent, retroactive to the first

day of the first plan year beginning after

December 31, 2019.

Q&A‑3 of Notice 2020‑86 provides

that, in general, the plan amendment

timing provisions of section 601 of the

SECURE Act, as described in Q&A G‑1

of Notice 2020‑68, apply to a plan amendment adopted under section 102 of the

SECURE Act. Q&A‑3 of Notice 2020‑86

also provides that a plan may be amended

to reflect section 102 of the SECURE Act

after the applicable plan amendment deadline under section 601 of the SECURE

Act, in accordance with the general discretionary amendment deadlines set forth

in Rev. Proc. 2016‑37.

Q&A-13 of Notice 2020-86 provides

that, in general, the plan amendment

timing provisions of section 601 of the

SECURE Act, as described in Q&A G-1

of Notice 2020‑68, apply to a plan amendment adopted under section 103(b) or (c)

of the SECURE Act (even if the applicable plan amendment deadline under section 601 of the SECURE Act is later than

the deadline under section 103(b) or (c)

of the SECURE Act). Q&A-13 of Notice

2020-86 also provides that a plan may be

amended after the applicable plan amendment deadline under section 601 of the

SECURE Act, in accordance with the plan

amendment provisions of section 103(b)

or (c) of the SECURE Act (which provide

an exception to the general discretionary

amendment deadlines set forth in Rev.

Proc. 2016-37).

C. CARES Act

Section 2203(a) of the CARES Act

added section 401(a)(9)(I) to the Code,

which provides for a waiver of required

minimum distributions for defined contribution plans and IRAs for 2020. Section

2203(c) of the CARES Act provides that

a plan or contract may operate in accordance with an expected plan or contract

amendment relating to the changes made

by section 2203, provided the plan or contract amendment is adopted no later than

the last day of the first plan year beginning in 2022 (or, in the case of a governmental plan, 2024). Section 2203(c) of

the CARES Act also provides that a plan

or contract will not fail to satisfy section

411(d)(6) of the Code by reason of such

an amendment, except as provided by the

Secretary.5

III. EXTENSION OF PLAN

AMENDMENT DEADLINE; ANTICUTBACK RELIEF6

A. SECURE Act and Miners Act

Pursuant to the authority of the Secretary under section 601 of the SECURE

Act, the deadlines for amending a retirement plan or IRA to reflect the provisions

of the SECURE Act, the regulations

thereunder, or section 104 of the Miners

Act, as set forth in Notice 2020-68 and

Notice 2020-86, are hereby extended as

follows:

(1) The first paragraph under Q&A

G-1(a) of Notice 2020-68 is revised to

read as follows:

“In general, for a qualified plan

(including an applicable collectively

bargained plan) that is not a governmental plan within the meaning of section 414(d) of the Code, the deadline

to amend a plan for provisions of the

SECURE Act, the regulations thereunder, or section 104 of the Miners Act is

December 31, 2025. The plan amendment deadline for a qualified governmental plan, within the meaning of section 414(d), is 90 days after the close

of the third regular legislative session

of the legislative body with the authority to amend the plan that begins after

December 31, 2023.”

(2) The first paragraph under Q&A

G-1(b) of Notice 2020-68 is revised to

read as follows:

“In general, the deadline for a section

403(b) plan (including an applicable collectively bargained plan) that

is not maintained by a public school,

as described in section 403(b)(1)(A)

(ii), to amend a plan for provisions of

the SECURE Act or the regulations

thereunder is December 31, 2025. The

plan amendment deadline for a section

403(b) plan that is maintained by a

public school, as described in section

403(b)(1)(A)(ii), is 90 days after the

close of the third regular legislative

session of the legislative body with the

authority to amend the plan that begins

after December 31, 2023.”

(3) Q&A G-1(c) is revised to read as

follows:

“The deadline to amend a governmental plan under section 457(b) of the

Code for provisions of the SECURE

Act, the regulations thereunder, or section 104 of the Miners Act is the later

of (i) 90 days after the close of the third

regular legislative session of the legislative body with the authority to amend

the plan that begins after December 31,

Notice 2020-51, 2020-29 IRB 73, which sets forth guidance relating to a waiver of 2020 required minimum distributions under section 2203 of the CARES Act, provides that an IRA does

not have to be amended to reflect the waiver and provides a sample amendment for defined contribution plans that plan sponsors may adopt to implement section 401(a)(9)(I) of the Code. The

notice provides that, although employers may adopt amendments pursuant to section 2203 of the CARES Act other than those provided in the sample amendment, the Department of the Treasury and the IRS are exercising their authority under section 2203(c) of the CARES Act to deny Code section 411(d)(6) relief for a plan amendment that eliminates an optional form of benefit.

6

It is anticipated that certain guidance issued under the SECURE Act will appear on the 2023 RA List. The extended deadlines set forth in this section III are consistent with the deadlines

that would apply if the general amendment timing principles set forth in Rev. Proc. 2016-37 and Rev. Proc. 2019-39 were applied to that SECURE Act guidance. Accordingly, it is anticipated

that sponsors will be able to adopt all SECURE Act, Miners Act, and CARES Act amendments described in this notice on a single date.

5

Bulletin No. 2022–34

149

August 22, 2022

2023, or (ii) if applicable, the first day

of the first plan year beginning more

than 180 days after the date of notification by the Secretary that the plan was

administered in a manner that is inconsistent with the requirements of section

457(b) of the Code.”

(4) The first paragraph under Q&A

G-1(d) of Notice 2020-68 is revised to

read as follows:

“The deadline to amend the trust governing an IRA that is an individual

retirement account or the contract

issued by an insurance company with

respect to an IRA that is an individual

retirement annuity for provisions of the

SECURE Act or the regulations thereunder is December 31, 2025, or such

later date as the Secretary prescribes in

guidance.”

(5) Q&A‑2, Q&A‑3, and Q&A-13 of

Notice 2020-86 are modified by replacing all references to “Q&A G-1 of Notice

2020-68” with “Q&A G-1 of Notice 202068, as modified by Notice 2022-33”.

In addition, amendments to a retirement plan to reflect a provision of the

SECURE Act or the regulations thereunder that are made on or before the dates as

extended under this section III.A will not

cause the retirement plan to fail to satisfy

the anti-cutback requirements of section

411(d)(6) of the Code or section 204(g) of

ERISA by reason of such amendments.

B. CARES Act

Pursuant to the authority of the Commissioner under section 1.401(b)-1(f), the

deadlines for amending a retirement plan

to reflect the provisions of section 2203 of

the CARES Act are hereby extended as

follows:

(1) the deadline for amending a retirement plan that is not a governmental plan

is December 31, 2025; and

(2) the deadline for amending a retirement plan that is a governmental plan is

90 days after the close of the third regular legislative session of the legislative

body with the authority to amend the plan

that begins after December 31, 2023, or,

if later, with respect to a governmental

plan under section 457(b) of the Code, the

first day of the first plan year beginning

more than 180 days after the date of notification by the Secretary that the plan was

August 22, 2022

administered in a manner that is inconsistent with the requirements of section

457(b).

IV. EFFECT ON OTHER

DOCUMENTS

Part G of Notice 2020-68 is modified.

Q&A‑2, Q&A‑3, and Q&A-13 of

Notice 2020-86 are modified.

V. DRAFTING INFORMATION

The principal author of this notice is

Angelique Carrington of the Office of Associate Chief Counsel (Employee Benefits,

Exempt Organizations, and Employment

Taxes). For further information regarding this notice, contact Ms. Carrington at

(202) 317-4148 (not a toll-free number).

Deferred Applicability

Dates for Foreign Currency

Guidance

Notice 2022-34

SECTION 1. PURPOSE

This Notice announces that the Department of the Treasury (“Treasury Department”) and the Internal Revenue Service

(“IRS”) intend to amend the regulations

under section 987 to defer the applicability date of the 2016 final regulations

and the related 2019 final regulations (as

defined below) by one additional year.

On December 8, 2016, the Treasury

Department and the IRS published Treasury Decision 9794 (81 Fed. Reg. 88806),

which contained final regulations under

section 987 and amendments to existing regulations under sections 861, 985,

988, and 989. See §§1.861-9T(g)(2)(ii)

(A)(1) and (g)(2)(vi); 1.985-5; 1.987-0

through 1.987-11; 1.988-0; 1.988-1(a)

(4), (a)(10)(ii), and (i); 1.988-4(b)(2);

and 1.989(a)-1(b)(2)(i), (b)(4), (d)(3), and

(d)(4) (the “2016 final regulations”) for

the rules contained in Treasury Decision

9794. The same day, the Treasury Department and the IRS also published Treasury

Decision 9795 (81 Fed. Reg. 88854),

which contained temporary regulations

150

under sections 987 and 988 (the “temporary regulations”), and concurrently published a notice of proposed rulemaking

by cross-reference to the temporary regulations (REG-128276-12, 81 Fed. Reg.

88882) (the “proposed regulations”).

On May 13, 2019, the Treasury Department and the IRS published Treasury Decision 9857 (84 Fed. Reg. 20790), which

adopted in final form §§1.987-2T(c)(9),

1.987-4T(c)(2) and (f), and 1.987-12T and

withdrew §1.987-7T. The other temporary

regulations expired on December 6, 2019.

The proposed regulations that were not

finalized in 2019 remain outstanding.

Earlier notices deferred the applicability dates of the 2016 final regulations,

§§1.987-1T (other than §§1.987-1T(g)(2)

(i)(B) and (g)(3)(i)(H)) through 1.9874T, 1.987-6T, 1.987-7T, 1.988-1T, and

1.988-2T(i) of the temporary regulations

(the “related temporary regulations”), and

§§1.987-2(c)(9) and 1.987-4(c)(2) and (f)

of the 2019 final regulations (the “related

2019 final regulations”). Most recently, on

October 25, 2021, Notice 2021-59, 202143 I.R.B. 664, announced that future guidance would defer the applicability date of

the 2016 final regulations and the related

2019 final regulations by one additional

year to taxable years beginning after

December 7, 2022. Regulations deferring

these applicability dates have not yet been

issued.

SECTION 2. AMENDED

APPLICABILITY DATE

The Treasury Department and the IRS

intend to amend the applicability dates in

§§1.861-9T, 1.985-5, 1.987-11, 1.988-1,

1.988-4, and 1.989(a)-1 of the 2016 final

regulations and §§1.987-2 and 1.987-4

of the related 2019 final regulations to

provide that the 2016 final regulations

and the related 2019 final regulations

apply to taxable years beginning after

December 7, 2023 (the “amended applicability date”). See §§1.861-9T(g)(2)(vi);

1.985-5(g); 1.987-2(e)(2); 1.987-4(h)(2);

1.987-11(a); 1.988-1(i); 1.988-4(b)(2)(ii);

1.989(a)-1(b)(4); 1.989(a)-1(d)(4). Thus,

following the amendments described in

this Notice, the 2016 final regulations and

the related 2019 final regulations would

apply to the taxable year beginning on January 1, 2024, for calendar-year taxpayers.

Bulletin No. 2022–34

The Treasury Department and the IRS do

not intend to amend the applicability date

of §1.987-12. See §1.987-12(j).

A taxpayer may choose to apply the 2016

final regulations, the related temporary regulations (until they were revoked on May

13, 2019, or expired on December 6, 2019,

as applicable), and the related 2019 final

regulations (beginning on May 13, 2019)

to taxable years beginning after December

7, 2016, and before the amended applicability date provided the taxpayer consistently applies those regulations to such taxable years with respect to all section 987

QBUs directly or indirectly owned by the

taxpayer on the transition date as well as

all section 987 QBUs directly or indirectly

owned on the transition date by members

that file a consolidated return with the taxpayer or by any controlled foreign corporation, as defined in section 957, in which a

member owns more than 50 percent of the

voting power or stock value, as determined

under section 958(a) (collectively, “related

parties”). A taxpayer and its related parties

are not, however, required to apply §1.9877T of the related temporary regulations

to any part of a taxable year ending on or

after May 13, 2019. For example, a calendar-year taxpayer applying the regulations

in accordance with this paragraph is not

required to apply §1.987-7T to the period

Bulletin No. 2022–34

beginning on January 1, 2019 and ending

on May 13, 2019 (when §1.987-7T was

revoked).

The transition date is the first day of

the first taxable year to which §§1.987-1

through 1.987-10 are applicable with

respect to a taxpayer under §1.987-11.

Section 1.987-11(c). Therefore, if a taxpayer chooses to apply §§1.987-1 through

1.987-10 to a taxable year beginning

before the amended applicability date, the

transition date is the first day of the first

taxable year in which the taxpayer chooses

to apply §§1.987-1 through 1.987-10.

For periods following the expiration of

the temporary regulations, a taxpayer may

rely on §§1.987-1 (other than §§1.9871(g)(2)(i)(B) and (g)(3)(i)(H)), 1.987-3,

1.987-6, 1.988-1, and 1.988-2(i) of the

proposed regulations, provided that the

taxpayer and its related parties consistently follow those proposed regulations

in their entirety and apply the 2016 final

regulations and the related 2019 final

regulations for the same taxable year. In

addition, a taxpayer may rely on §§1.9871(g)(2)(i)(B) and (g)(3)(i)(H) and 1.987-8

of the proposed regulations, provided

that the taxpayer and its related parties

consistently follow those proposed regulations in their entirety. A taxpayer may

rely on §1.987-7 or 1.988-2(b)(16) of the

151

proposed regulations, provided that the

taxpayer and its related parties consistently follow each section of those proposed regulations on which it relies.

SECTION 3. TAXPAYER RELIANCE

Before the regulations under section

987 are amended as described in section 2

of this Notice, taxpayers may rely on the

provisions of this Notice.

SECTION 4. EFFECT ON OTHER

DOCUMENTS

Notice 2021-59, 2021-43 I.R.B. 664;

Notice 2020-73, 2020-41 I.R.B. 886;

Notice 2019-65, 2019-52 I.R.B. 1507;

Notice 2018-57, 2018-26 I.R.B. 774; and

Notice 2017-57, 2017-42 I.R.B. 325 are

modified, and as so modified, are hereby

superseded.

SECTION 5. DRAFTING

INFORMATION

The principal author of this Notice is

Jack Zhou of the Office of Associate Chief

Counsel (International). For further information regarding this Notice, contact Jack

Zhou at (202) 317-5467 (not a toll-free

number).

August 22, 2022

Definition of Terms

Revenue rulings and revenue procedures

(hereinafter referred to as “rulings”) that

have an effect on previous rulings use the

following defined terms to describe the

­effect:

Amplified describes a situation where

no change is being made in a prior published position, but the prior position is

being extended to apply to a variation of

the fact situation set forth therein. Thus,

if an earlier ruling held that a principle

applied to A, and the new ruling holds that

the same principle also applies to B, the

earlier ruling is amplified. (Compare with

modified, below).

Clarified is used in those instances

where the language in a prior ruling is

being made clear because the language

has caused, or may cause, some confusion. It is not used where a position in a

prior ruling is being changed.

Distinguished describes a situation

where a ruling mentions a previously published ruling and points out an essential

difference between them.

Modified is used where the substance

of a previously published position is being

changed. Thus, if a prior ruling held that a

principle applied to A but not to B, and the

new ruling holds that it applies to both A

and B, the prior ruling is modified because

it corrects a published position. (Compare

with amplified and clarified, above).

Obsoleted describes a previously published ruling that is not considered determinative with respect to future transactions.

This term is most commonly used in a ruling

that lists previously published rulings that

are obsoleted because of changes in laws or

regulations. A ruling may also be obsoleted

because the substance has been included in

regulations subsequently adopted.

Revoked describes situations where the

position in the previously published ruling

is not correct and the correct position is

being stated in a new ruling.

Superseded describes a situation where

the new ruling does nothing more than

restate the substance and situation of a

previously published ruling (or rulings).

Thus, the term is used to republish under

the 1986 Code and regulations the same

position published under the 1939 Code

and regulations. The term is also used

when it is desired to republish in a single

ruling a series of situations, names, etc.,

that were previously published over a

period of time in separate rulings. If the

new ruling does more than restate the substance of a prior ruling, a combination of

terms is used. For example, modified and

superseded describes a situation where the

substance of a previously published ruling

is being changed in part and is continued

without change in part and it is desired to

restate the valid portion of the previously

published ruling in a new ruling that is

self contained. In this case, the previously

published ruling is first modified and then,

as modified, is superseded.

Supplemented is used in situations in

which a list, such as a list of the names of

countries, is published in a ruling and that

list is expanded by adding further names

in subsequent rulings. After the original

ruling has been supplemented several

times, a new ruling may be published that

includes the list in the original ruling and

the additions, and supersedes all prior rulings in the series.

Suspended is used in rare situations

to show that the previous published rulings will not be applied pending some

future action such as the issuance of new

or amended regulations, the outcome of

cases in litigation, or the outcome of a

Service study.

Abbreviations

The following abbreviations in current

use and formerly used will appear in

material published in the Bulletin.

A—Individual.

Acq.—Acquiescence.

B—Individual.

BE—Beneficiary.

BK—Bank.

B.T.A.—Board of Tax Appeals.

C—Individual.

C.B.—Cumulative Bulletin.

CFR—Code of Federal Regulations.

CI—City.

COOP—Cooperative.

Ct.D.—Court Decision.

CY—County.

D—Decedent.

DC—Dummy Corporation.

DE—Donee.

Del. Order—Delegation Order.

DISC—Domestic International Sales Corporation.

DR—Donor.

E—Estate.

EE—Employee.

E.O.—Executive Order.

ER—Employer.

Bulletin No. 2022–34

ERISA—Employee Retirement Income Security Act.

EX—Executor.

F—Fiduciary.

FC—Foreign Country.

FICA—Federal Insurance Contributions Act.

FISC—Foreign International Sales Company.

FPH—Foreign Personal Holding Company.

F.R.—Federal Register.

FUTA—Federal Unemployment Tax Act.

FX—Foreign corporation.

G.C.M.—Chief Counsel’s Memorandum.

GE—Grantee.

GP—General Partner.

GR—Grantor.

IC—Insurance Company.

I.R.B.—Internal Revenue Bulletin.

LE—Lessee.

LP—Limited Partner.

LR—Lessor.

M—Minor.

Nonacq.—Nonacquiescence.

O—Organization.

P—Parent Corporation.

PHC—Personal Holding Company.

PO—Possession of the U.S.

PR—Partner.

PRS—Partnership.

i

PTE—Prohibited Transaction Exemption.

Pub. L.—Public Law.

REIT—Real Estate Investment Trust.

Rev. Proc.—Revenue Procedure.

Rev. Rul.—Revenue Ruling.

S—Subsidiary.

S.P.R.—Statement of Procedural Rules.

Stat.—Statutes at Large.

T—Target Corporation.

T.C.—Tax Court.

T.D.—Treasury Decision.

TFE—Transferee.

TFR—Transferor.

T.I.R.—Technical Information Release.

TP—Taxpayer.

TR—Trust.

TT—Trustee.

U.S.C.—United States Code.

X—Corporation.

Y—Corporation.

Z—Corporation.

August 22, 2022

Numerical Finding List1

Bulletin 2022–34

Announcements:

2022-14, 2022-31 I.R.B. 136

2022-15, 2022-31 I.R.B. 136

2022-16, 2022-33 I.R.B. 144

Notices:

2022-29, 2022-28 I.R.B. 66

2022-30, 2022-28 I.R.B. 70

2022-31, 2022-29 I.R.B. 85

2022-32, 2022-32 I.R.B. 137

2022-33, 2022-34 I.R.B. 147

2022-34, 2022-34 I.R.B. 150

Proposed Regulations:

REG-130975-08, 2022-28 I.R.B. 71

REG 130675-17, 2022-30 I.R.B. 104

Revenue Procedures:

2022-25, 2022-27 I.R.B. 3

2022-28, 2022-27 I.R.B. 65

2022-26, 2022-29 I.R.B. 90

2022-32, 2022-30 I.R.B. 101

2022-30, 2022-31 I.R.B. 112

2022-29, 2022-33 I.R.B. 141

2022-34, 2022-33 I.R.B. 143

Revenue Rulings:

2022-12, 2022-27 I.R.B. 1

2022-13, 2022-30 I.R.B. 99

2022-14, 2022-31 I.R.B. 110

Treasury Decisions:

9963, 2022-34 I.R.B. 145

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2021–27 through 2021–52 is in Internal Revenue Bulletin

2021–52, dated December 27, 2021.

1

August 22, 2022

ii

Bulletin No. 2022–34

Finding List of Current Actions on

Previously Published Items1

Bulletin 2022–34

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2021–27 through 2021–52 is in Internal Revenue Bulletin

2021–52, dated December 27, 2021.

1

Bulletin No. 2022–34

iii

August 22, 2022

Internal Revenue Service

Washington, DC 20224

Official Business

Penalty for Private Use, $300

INTERNAL REVENUE BULLETIN

The Introduction at the beginning of this issue describes the purpose and content of this publication. The weekly Internal Revenue

Bulletins are available at www.irs.gov/irb/.

We Welcome Comments About the Internal Revenue Bulletin

If you have comments concerning the format or production of the Internal Revenue Bulletin or suggestions for improving it,

we would be pleased to hear from you. You can email us your suggestions or comments through the IRS Internet Home Page

www.irs.gov) or write to the Internal Revenue Service, Publishing Division, IRB Publishing Program Desk, 1111 Constitution Ave.

NW, IR-6230 Washington, DC 20224.