Bulletin No. 2020–37
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HIGHLIGHTS
OF THIS ISSUE
Bulletin No. 2020–37
September 8, 2020
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
REG-116475-19, page 553.
This document sets forth proposed regulations relating to
amendments made to section 402(c) of the Internal Revenue
Code (Code) by section 13613 of the Tax Cuts and Jobs Act,
Public Law 115-97 (131 Stat. 2054) (TCJA). Section 13613
of TCJA provides an extended rollover period for a qualified
plan loan offset, which is a type of plan loan offset.
ESTATE TAX
Rev. Rul. 2020-17, page 552.
Special Use Value: Farms: Interest Rates. The 2020 interest rates to be used in computing the special use value
Finding Lists begin on page ii.
of farm real property for which an election is made under
section 2032A of the Code are listed for estate of decedents.
INCOME TAX
Rev. Rul. 2020-16, page 550.
Federal rates; adjusted federal rates; adjusted federal
long-term rate, the long-term exempt rate, and the blended annual rate. For purposes of sections 382, 1274,
1288, 7872 and other sections of the Code, tables set
forth the rates for September 2020.
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.
September 8, 2020
Bulletin No. 2020–37
Part I
Section 1274.—
Determination of Issue
Price in the Case of Certain
Debt Instruments Issued for
Property
(Also Sections 42, 280G, 382, 467, 468, 482, 483,
1288, 7520, 7872.)
Rev. Rul. 2020-16
This revenue ruling provides various
prescribed rates for federal income tax
AFR
110% AFR
120% AFR
130% AFR
AFR
110% AFR
120% AFR
130% AFR
150% AFR
175% AFR
AFR
110% AFR
120% AFR
130% AFR
Short-term adjusted AFR
Mid-term adjusted AFR
Long-term adjusted AFR
September 8, 2020
purposes for September 2020 (the current month). Table 1 contains the shortterm, mid-term, and long-term applicable federal rates (AFR) for the current
month for purposes of section 1274(d)
of the Internal Revenue Code. Table 2
contains the short-term, mid-term, and
long-term adjusted applicable federal
rates (adjusted AFR) for the current
month for purposes of section 1288(b).
Table 3 sets forth the adjusted federal long-term rate and the long-term
tax-exempt rate described in section
382(f). Table 4 contains the appropri-
ate percentages for determining the
low-income housing credit described in
section 42(b)(1) for buildings placed in
service during the current month. However, under section 42(b)(2), the applicable percentage for non-federally subsidized new buildings placed in service
after July 30, 2008, shall not be less
than 9%. Finally, Table 5 contains the
federal rate for determining the present
value of an annuity, an interest for life
or for a term of years, or a remainder or
a reversionary interest for purposes of
section 7520.
REV. RUL. 2020-16 TABLE 1
Applicable Federal Rates (AFR) for September 2020
Period for Compounding
Annual
Semiannual
Quarterly
Short-term
0.14%
0.14%
0.14%
0.15%
0.15%
0.15%
0.17%
0.17%
0.17%
0.18%
0.18%
0.18%
Mid-term
0.35%
0.35%
0.35%
0.39%
0.39%
0.39%
0.42%
0.42%
0.42%
0.46%
0.46%
0.46%
0.53%
0.53%
0.53%
0.61%
0.61%
0.61%
Long-term
1.00%
1.00%
1.00%
1.10%
1.10%
1.10%
1.20%
1.20%
1.20%
1.30%
1.30%
1.30%
REV. RUL. 2020-16 TABLE 2
Adjusted AFR for September 2020
Period for Compounding
Annual
Semiannual
0.11%
0.11%
0.27%
0.27%
0.76%
0.76%
550
Monthly
0.14%
0.15%
0.17%
0.18%
0.35%
0.39%
0.42%
0.46%
0.53%
0.61%
1.00%
1.10%
1.20%
1.30%
Quarterly
0.11%
0.27%
0.76%
Monthly
0.11%
0.27%
0.76%
Bulletin No. 2020–37
REV. RUL. 2020-16 TABLE 3
Rates Under Section 382 for September 2020
Adjusted federal long-term rate for the current month
Long-term tax-exempt rate for ownership changes during the current month (the highest of
the adjusted federal long-term rates for the current month and the prior two months.)
.76%
.89%
REV. RUL. 2020-16 TABLE 4
Appropriate Percentages Under Section 42(b)(1) for September 2020
Note: Under section 42(b)(2), the applicable percentage for non-federally subsidized new buildings placed in service after July
30, 2008, shall not be less than 9%.
Appropriate percentage for the 70% present value low-income housing credit
7.15%
Appropriate percentage for the 30% present value low-income housing credit
3.07%
REV. RUL. 2020-16 TABLE 5
Rate Under Section 7520 for September 2020
Applicable federal rate for determining the present value of an annuity, an interest for life or
a term of years, or a remainder or reversionary interest
Section 42.—Low-Income
Housing Credit
The applicable federal short-term, mid-term,
and long-term rates are set forth for the month of
September 2020. See Rev. Rul. 2020-16, page 550.
Section 280G.—Golden
Parachute Payments
The applicable federal short-term, mid-term,
and long-term rates are set forth for the month of
September 2020. See Rev. Rul. 2020-16, page 550.
Section 382.—Limitation
on Net Operating Loss
Carryforwards and
Certain Built-In Losses
Following Ownership
Change
The adjusted applicable federal long-term rate
is set forth for the month of September 2020. See
Rev. Rul. 2020-16, page 550.
Section 467.—Certain
Payments for the Use of
Property or Services
The applicable federal short-term, mid-term,
and long-term rates are set forth for the month of
September 2020. See Rev. Rul. 2020-16, page 550.
Section 468.—Special
Rules for Mining and Solid
Waste Reclamation and
Closing Costs
The applicable federal short-term rates are set
forth for the month of September 2020. See Rev.
Rul. 2020-16, page 550.
Section 482.—Allocation
of Income and Deductions
Among Taxpayers
The applicable federal short-term, mid-term,
and long-term rates are set forth for the month of
September 2020. See Rev. Rul. 2020-16, page 550.
.4%
Section 483.—Interest on
Certain Deferred Payments
The applicable federal short-term, mid-term,
and long-term rates are set forth for the month of
September 2020. See Rev. Rul. 2020-16, page 550.
Section 1288.—Treatment
of Original Issue Discount
on Tax-Exempt Obligations
The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month
of September 2020. See Rev. Rul. 2020-16, page 550.
Section 7520.—Valuation
Tables
The applicable federal mid-term rates are set
forth for the month of September 2020. See Rev.
Rul. 2020-16, page 550.
Section 7872.—Treatment
of Loans With BelowMarket Interest Rates
The applicable federal short-term, mid-term,
and long-term rates are set forth for the month of
September 2020. See Rev. Rul. 2020-16, page 550.
Bulletin No. 2020–37
551
September 8, 2020
Section 2032A.—Valuation
of Certain Farm, Etc., Real
Property
26 CFR 20.2032A-4: Method of valuing farm real
property.
Rev. Rul. 2020-17
This revenue ruling contains a list of
the average annual effective interest rates
on new loans under the Farm Credit System. This revenue ruling also contains a
list of the states within each Farm Credit
System Bank Territory.
Under § 2032A(e)(7)(A)(ii) of the Internal Revenue Code, rates on new Farm
Credit System Bank loans are used in
computing the special use value of real
property used as a farm for which an election is made under § 2032A. The rates in
Table 1 of this revenue ruling may be used
by estates that value farmland under §
2032A as of a date in 2020.
Average annual effective interest
rates, calculated in accordance with §
2032A(e)(7)(A) and § 20.2032A-4(e) of
the Estate Tax Regulations, to be used
under § 2032A(e)(7)(A)(ii), are set forth
in the accompanying Table of Interest
Rates (Table 1). The states within each
Farm Credit System Bank Territory are
set forth in the accompanying Table of
Farm Credit System Bank Territories
(Table 2).
Rev. Rul. 81-170, 1981-1 C.B. 454,
contains an illustrative computation of
an average annual effective interest rate.
The rates applicable for valuation in 2019
are in Rev. Rul. 2019-18, 2019-35 I.R.B.
668. For rate information for years prior
to 2019, see Rev. Rul. 2018-22, 2018-34
I.R.B. 308, and other revenue rulings that
are referenced therein.
DRAFTING INFORMATION
The principal author of this revenue
ruling is Lane Damazo of the Office of the
Associate Chief Counsel (Passthroughs
and Special Industries). For further information regarding this revenue ruling, contact Lane Damazo at (202) 317-4628 (not
a toll-free number).
REV. RUL. 2020-17 TABLE 1
TABLE OF INTEREST RATES
(Year of Valuation 2020)
Farm Credit System Bank Servicing State in Which Property is Located
Rate
AgFirst, FCB .........................
5.37
AgriBank, FCB .........................
4.74
CoBank, ACB ..........................
4.53
Texas, FCB ...........................
5.12
REV. RUL. 2020-17 TABLE 2
TABLE OF FARM CREDIT SYSTEM BANK TERRITORIES
Farm Credit System Bank
Location of Property
AgFirst, FCB................
Delaware, District of Columbia, Florida, Georgia, Maryland, North Carolina, Pennsylvania, South Carolina, Virginia, West Virginia.
AgriBank, FCB...............
Arkansas, Illinois, Indiana, Iowa, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South Dakota, Tennessee, Wisconsin, Wyoming.
CoBank, ACB................
Alaska, Arizona, California, Colorado, Connecticut, Hawaii, Idaho, Kansas, Maine,
Massachusetts, Montana, New Hampshire, New Jersey, New Mexico, New York,
Nevada, Oklahoma, Oregon, Rhode Island, Utah, Vermont, Washington.
Texas, FCB................
Alabama, Louisiana, Mississippi, Texas.
September 8, 2020
552
Bulletin No. 2020–37
Part IV
Notice of Proposed
Rulemaking
Rollover Rules for Qualified
Plan Loan Offset Amounts
REG-116475-19
AGENCY: Internal Revenue Service
(IRS), Treasury
ACTION: Notice of proposed rulemaking.
SUMMARY: This document sets forth
proposed regulations relating to amendments made to section 402(c) of the Internal Revenue Code (Code) by section
13613 of the Tax Cuts and Jobs Act,
Public Law 115-97 (131 Stat. 2054)
(TCJA). Section 13613 of TCJA provides an extended rollover period for
a qualified plan loan offset, which is a
type of plan loan offset. These regulations affect participants, beneficiaries,
sponsors, and administrators of qualified employer plans.
DATES: Written or electronic comments
and requests for a public hearing must be
received by October 5, 2020.
ADDRESSES: Commenters are strongly
encouraged to submit public comments
electronically. Submit electronic submissions via the Federal eRulemaking Portal
at www.regulations.gov (indicate IRS and
REG-116475-19) by following the online
instructions for submitting comments.
Once submitted to the Federal eRulemaking Portal, comments cannot be edited
or withdrawn. The IRS expects to have
limited personnel available to process
public comments that are submitted on
paper through mail. Until further notice,
any comments submitted on paper will be
considered to the extent practicable. The
Department of the Treasury (Treasury
Department) and the IRS will publish for
public availability any comment received
1
to its public docket, whether submitted
electronically or in hard copy. Send hard
copy submissions to CC:PA:LPD:PR
(REG-116475-19), Room 5203, Internal
Revenue Service, P.O. Box 7604, Ben
Franklin Station, Washington D.C. 20044.
FOR FURTHER INFORMATION CONTACT: Concerning the proposed amendments to the regulations, Naomi Lehr at
(202) 317-4102, Vernon Carter at (202)
317-6799, or Pamela Kinard at (202) 3176000; concerning submissions of comments and requests for a hearing, Regina
Johnson at (202) 317-5177 (not toll-free
numbers).
SUPPLEMENTARY INFORMATION:
Background
This document sets forth proposed
amendments to 26 CFR part 1, by adding
§1.402(c)-3 to the Income Tax Regulations solely to reflect changes to section
402(c) of the Code, as amended by section 13613 of TCJA. On December 20,
2019, the Further Consolidated Appropriations Act of 2020, Public Law 116-94
(133 Stat. 2534) (the Act), was enacted.
Section 114 of Division O of the Act, titled “Setting Every Community Up for
Retirement Enhancement Act of 2019”
(SECURE Act), amended section 401(a)
(9) of the Code by changing the required
beginning date applicable to section
401(a) plans and other eligible retirement
plans described in section 402(c)(8). The
Treasury Department and IRS anticipate
providing separate guidance on section 114 of the SECURE Act, including
amending §1.402(c)-2 to reflect changes
made by the SECURE Act and to add
new level designations for each paragraph in the questions and answers to satisfy Federal Register requirements. It is
anticipated that the proposed §1.402(c)3 will be combined with §1.402(c)-2 in
connection with that project (including
replacing Q&A-9 of §1.402(c)-2 with
paragraph (a) of proposed §1.402(c)-3).
1. Plan Loans, Eligible Rollover
Distributions, and Plan Loan Offset
Amounts
Section 72(p)(1) provides that if,
during any taxable year, a participant or
beneficiary receives (directly or indirectly) any amount as a loan from a qualified
employer plan (as defined in section 72(p)
(4)(A)),1 such amount shall be treated as
having been received by the individual as
a distribution from the plan. For certain
plan loans, section 72(p)(2) provides an
exception to the general treatment of loans
as distributions under section 72(p)(1).
For the exception under section 72(p)
(2) to apply so that a plan loan is not treated as a distribution under section 72(p)(1)
for the taxable year in which the loan is
received, the loan generally must satisfy
three requirements:
(1) The loan, by its terms, must satisfy
the limits on loan amounts, as described in
section 72(p)(2)(A);
(2) The loan, by its terms, generally
must be repayable within 5 years, as described in section 72(p)(2)(B); and
(3) The loan must require substantially level amortization over the term of
the loan, as described in section 72(p)(2)
(C).
Section 401(a)(31) requires that a plan
qualified under section 401(a) provide
for the direct transfer of eligible rollover
distributions. A similar rule applies to section 403(a) annuity plans, section 403(b)
tax-sheltered annuities, and section 457
eligible governmental plans. See generally sections 403(a)(1), 403(b)(10), and
457(d)(1)(C).
Sections 402(c)(3) and 408(d)(3) provide that any amount distributed from a
qualified plan or individual retirement account or annuity (IRA) will be excluded
from income if it is transferred to an eligible retirement plan no later than the 60th
day following the day the distribution is
received. A similar rule applies to section 403(a) annuity plans, section 403(b)
tax-sheltered annuities, and section 457
eligible governmental plans. See gener-
Under section 72(p)(4), a qualified employer plan means a qualified plan, a section 403(a) annuity plan, a section 403(b) plan, and any governmental plan.
Bulletin No. 2020–37
553
September 8, 2020
ally sections 403(a)(4)(B), 403(b)(8)(B),
and 457(e)(16)(B).
Sections 402(c)(3)(B) and 408(d)(3)(I)
provide that the Secretary may waive the
60-day rollover requirement “where the
failure to waive such requirement would
be against equity or good conscience, including casualty, disaster, or other events
beyond the reasonable control of the individual subject to such requirement.” See
generally Rev. Proc. 2016-47, 2016-37
I.R.B. 346, which sets forth a self-certification procedure that taxpayers may use
in certain circumstances to claim a waiver of the 60-day deadline for completing
a rollover under section 402(c)(3)(B) or
408(d)(3)(I), and Rev. Proc. 2020-4, 20201 I.R.B. 148, which sets forth procedures
that taxpayers may use to request a waiver
of the 60-day rollover deadline by submitting a request for a private letter ruling.2
Section 1.402(c)-2, Q&A-3(a), provides that, unless specifically excluded,
an eligible rollover distribution means any
distribution to an employee (or to a spousal distributee described in §1.402(c)-2,
Q&A-12(a)) of all or any portion of the
balance to the credit of the employee in a
qualified plan. Section 1.402(c)-2, Q&A3(b), provides that certain distributions
(for example, required minimum distributions under section 401(a)(9)) are not
eligible rollover distributions.
Section 1.402(c)-2, Q&A-9(a), provides that a distribution of a plan loan
offset amount (as defined in §1.402(c)-2,
Q&A-9(b)) is an eligible rollover distribution if it satisfies §1.402(c)-2, Q&A-3.
Thus, an amount not exceeding the plan
loan offset amount may be rolled over by
the employee (or spousal distributee) to
an eligible retirement plan within the 60day period described in section 402(c)(3),
unless the plan loan offset amount fails to
be an eligible rollover distribution for another reason.
Section 1.402(c)-2, Q&A-9(b), provides that a distribution of a plan loan
offset amount is a distribution that occurs
when, under the plan terms governing the
loan, the employee’s accrued benefit is reduced (offset) in order to repay the loan.
This may occur when, for example, the
terms governing a plan loan require that,
in the event of an employee’s termination
of employment or request for a distribution, the loan is to be repaid immediately
or treated as in default. A plan loan offset
may also occur when, under the terms of
the plan loan, the loan is canceled, accelerated, or treated as if it is in default
(for example, if the plan treats a loan as
in default upon an employee’s termination of employment or within a specified
period thereafter). See also §1.72(p)-1,
Q&A-13(a)(2). Because a plan loan offset
is an actual distribution for purposes of
the Code, not a deemed distribution under
section 72(p), a plan loan offset cannot
occur prior to a distributable event. See
generally §1.72(p)-1, Q&A-13(b).
2. Qualified Plan Loan Offset Amounts
Section 13613 of TCJA amended section 402(c)(3) of the Code to provide an
extended rollover deadline for qualified
plan loan offset (QPLO) amounts (as defined in section 402(c)(3)(C)(ii)).3 Any
portion of a QPLO amount (up to the entire QPLO amount) may be rolled over
into an eligible retirement plan by the
individual’s tax filing due date (including
extensions) for the taxable year in which
the offset occurs.
A QPLO amount is defined in section 402(c)(3)(C)(ii) as a plan loan offset
amount that is treated as distributed from
a qualified employer plan to an employee
or beneficiary solely by reason of:
(1) The termination of the qualified
employer plan, or
(2) The failure to meet the repayment
terms of the loan from such plan because
of the severance from employment of the
employee.
In addition, section 402(c)(3)(C)(iv)
provides that the extended rollover period will not apply “to any plan loan offset amount unless such plan loan offset
amount relates to a loan to which section 72(p)(1) does not apply by reason of
section 72(p)(2).”
Section 301.9100-2(b) of the regulations provides rules for automatic sixmonth extensions to make regulatory or
statutory elections. Under this rule, a taxpayer will receive an automatic extension
of 6 months from the due date of a return,
excluding extensions, to make elections
that otherwise must be made by the due
date of the return plus extensions, provided that:
(1) The taxpayer’s return was timely filed
for the year the election should have
been made; and
(2) The taxpayer takes appropriate corrective action within the six-month
period.
Section 301.9100-2(b) further provides
that paragraph (b) does not apply to regulatory or statutory elections that must be
made by the due date of the return excluding extensions.
Explanation of Provisions
1. In General
These proposed regulations add
§1.402(c)-3 to take into account changes to the rollover rules made by section
13613 of TCJA with respect to QPLO
amounts. As an initial matter, the proposed
regulations confirm that a QPLO is a type
of plan loan offset; accordingly, most of
the general rules relating to plan loan offset amounts apply to QPLO amounts. For
example, the rule that a plan loan offset
amount is an eligible rollover distribution
applies to a QPLO amount. In addition,
the rules in §1.401(a)(31)-1, Q&A-16
(guidance concerning the offering of a direct rollover of a plan loan offset amount),
Note that the 60-day rollover deadline can also be extended to provide temporary relief during a disaster or an emergency response. For example, in response to the COVID-19 pandemic,
Notice 2020-23, 2020-18 I.R.B. 742, extended the 60-day rollover deadline to July 15, 2020, for distributions made between April 1, 2020, and July 14, 2020.
3
In addition to TCJA, other statutory provisions may extend the period to roll over a plan loan offset. For example, section 2202(a) of the Coronavirus Aid, Relief, and Economic Security
Act, Public Law 116-136, 134 Stat. 281 (2020) (CARES Act), permits an individual to receive from an eligible retirement plan up to $100,000 for a coronavirus-related distribution (which
may include a plan loan offset that otherwise meets the requirements to be a coronavirus-related distribution). A qualified individual with a coronavirus-related distribution (which may be
included in gross income ratably over the 3-year period beginning with the taxable year of the distribution) may recontribute up to the amount of the distribution to an applicable eligible
retirement plan in which the individual is a beneficiary and to which a rollover can be made. For further information relating to the interaction of section 2202 of the CARES Act and plan
loan offsets, see Notice 2020-50, 2020-28 I.R.B. 35.
2
September 8, 2020
554
Bulletin No. 2020–37
and §31.3405(c)-1, Q&A-11 (guidance
concerning special withholding rules with
respect to plan loan offset amounts), applicable to plan loan offset amounts in
general, apply to QPLO amounts. The
proposed regulations provide examples
to illustrate the interaction of the special
rules for QPLOs with the general rules for
plan loan offsets.
2. Rollover Period for Plan Loan Offset
Amounts, Including QPLO Amounts
Consistent with §1.402(c)-2, Q&A-9,
the proposed regulations provide that a
distribution of a plan loan offset amount
that is an eligible rollover distribution and
not a QPLO amount may be rolled over by
the employee (or spousal distributee) to an
eligible retirement plan (as defined in section 402(c)(8)(B)) within the 60-day period set forth in section 402(c)(3)(A). While
a plan loan offset generally is subject to
this 60-day rollover period, there are special rules for the waiver of the 60-day
rollover deadline. For further discussion
of the special rules, see the Background
section of this preamble.
Consistent with the amended provisions of section 402(c)(3)(C), the proposed regulations provide that a distribution of a plan loan offset amount that is an
eligible rollover distribution and a QPLO
amount may be rolled over by the employee (or spousal distributee) to an eligible
retirement plan through the period ending
on the individual’s tax filing due date (including extensions) for the taxable year in
which the offset is treated as distributed
from a qualified employer plan. Thus, a
taxpayer with an eligible rollover distribution that is a QPLO amount may roll
over any portion of the distribution to an
eligible retirement plan, including another
qualified retirement plan (if that plan permits) or an IRA, by the taxpayer’s deadline for filing income taxes for the year of
the distribution, including extensions.
If a taxpayer to whom a QPLO amount
is distributed satisfies the conditions in
§301.9100-2(b), the taxpayer will have
an extended period past his or her tax
filing due date in which to complete a
rollover of the QPLO amount, even if the
taxpayer does not request an extension to
file his or her income tax return but instead files the return by the unextended
Bulletin No. 2020–37
tax filing due date. For example, if, on
June 1, 2020, Taxpayer A has an eligible
rollover distribution of $10,000 that is a
QPLO amount, she may be able to roll
over the $10,000 amount as late as October 15, 2021. Pursuant to §301.91002(b), this automatic six-month extension
applies if Taxpayer A timely files her tax
return by April 15, 2021 (the due date of
her return), rolls over the QPLO amount
within the six-month period ending on
October 15, 2021, and amends her return by October 15, 2021, as necessary
to reflect the rollover. See the further discussion of §301.9100-2(b) in the Background section of this preamble.
3. Definitions of Plan Loan Offset
Amount, QPLO Amount, and Qualified
Employer Plan
Consistent with §1.402(c)-2, Q&A9(b), the proposed regulations provide that
a plan loan offset amount is the amount by
which, under plan terms governing a plan
loan, an employee’s accrued benefit is reduced (offset) in order to repay the loan
(including the enforcement of the plan’s
security interest in the employee’s accrued
benefit). A distribution of a plan loan offset amount is an actual distribution, not a
deemed distribution under section 72(p).
Section 1.402(c)-3(a)(2)(iii)(B) of the
proposed regulations defines a QPLO
amount as a plan loan offset amount that
satisfies two requirements. First, the plan
loan offset amount must be treated as distributed from a qualified employer plan
to an employee or beneficiary solely by
reason of the termination of the qualified
employer plan, or the failure to meet the
repayment terms of the loan from such
plan because of the severance from employment of the employee. Second, the
plan loan offset amount must relate to a
plan loan that met the requirements of
section 72(p)(2) immediately prior to the
termination of the qualified employer plan
or the severance from employment of the
employee, as applicable.
The proposed regulations define a
qualified employer plan, for purposes of
the QPLO amount definition, as a qualified employer plan as defined in section
72(p)(4). For a discussion of the definition
of a qualified employer plan, see the Background section of this preamble.
555
4. Special Rules for QPLO
Determinations
The proposed regulations provide several special rules for purposes of determining whether a plan loan offset amount
is a QPLO amount. First, the proposed
regulations provide that whether an employee has a severance from employment
with the employer that maintains the qualified employer plan is determined in the
same manner as under §1.401(k)-1(d)(2).
Thus, an employee has a severance from
employment when the employee ceases to
be an employee of the employer maintaining the plan.
Second, the proposed regulations provide that a plan loan offset amount is
treated as distributed from a qualified employer plan to an employee or beneficiary
solely by reason of the failure to meet the
plan loan repayment terms because of severance from employment if the plan loan
offset:
(1) Relates to a failure to meet the repayment terms of the plan loan, and
(2) Occurs within the period beginning
on the date of the employee’s severance
from employment and ending on the first
anniversary of that date.
Whether a plan loan offset amount is
a QPLO amount is relevant to plan administrators because those administrators
are responsible for reporting whether a
distribution is a plan loan offset amount
or a QPLO amount on Form 1099-R, Distributions From Pensions, Annuities, Retirement or Profit-Sharing Plans, IRAs,
Insurance Contracts, etc., and furnishing
that form to the taxpayer. The Instructions
to the 2020 Form 1099-R provide that if
an employee’s accrued benefit is offset to
repay a loan (a plan loan offset amount),
the administrator should report the distribution as an actual distribution and not use
Code L (for deemed distributions) in box
7. For a QPLO amount, the instructions
to the 2020 Form 1099-R provide that the
administrator should enter Code M (for
QPLO amounts) in box 7. The Treasury
Department and the IRS anticipate that
the proposed 12-month rule will assist
plan administrators in identifying QPLO
amounts by providing a bright-line rule
for determining whether a plan loan offset
amount following a severance from employment is a QPLO amount.
September 8, 2020
Proposed Applicability Date
These regulations are proposed to apply to plan loan offset amounts, including
qualified plan loan offset amounts, treated
as distributed on or after the date of publication of a Treasury decision adopting
these rules as final regulations in the Federal Register. Taxpayers, however, may
rely on these proposed regulations with
respect to plan loan offset amounts, including qualified plan loan offset amounts,
treated as distributed on or after August
20, 2020 and before the date these regulations are published as final regulations in
the Federal Register.
Statement of Availability for IRS
Documents
For copies of recently issued Revenue
Procedures, Revenue Rulings, Notices,
and other guidance published in the Internal Revenue Bulletin, please visit the IRS
website at https://www.irs.gov.
Special Analyses
These proposed 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 Office of Management and Budget
regarding review of tax regulations.
In addition, it is hereby certified that
these proposed regulations will not have
a significant economic impact on a substantial number of small entities pursuant to the Regulatory Flexibility Act
(5 U.S.C. chapter 6). This certification
is based on the fact that the proposed
regulations would reflect the statutory changes to section 402(c) made by
section 13613 of TCJA. The proposed
regulations would reflect the extended rollover period for QPLO amounts,
as amended by TCJA. Specifically, the
proposed regulations would reflect the
statute in a manner that (i) is consistent
with the statutory language, (ii) provides
certain clarifications, and (iii) eases and
facilitates plan administration. Although
the proposed regulations might affect a
substantial number of individuals, the
economic impact of the proposed regulations is not expected to be significant.
September 8, 2020
The regulations do not impose any new
compliance burdens on taxpayers and
are not expected to result in any economically meaningful changes in behavior.
Notwithstanding this certification that
the proposed regulations would not have a
significant economic impact on a substantial number of small entities, the Treasury
Department and the IRS invite comments
on the impacts these proposed regulations
may have on small entities. Pursuant to
section 7805(f), these proposed regulations will be submitted to the Chief Counsel for Advocacy of the Small Business
Administration for comment on their impact on small business.
Comments and Requests for Public
Hearing
Before these proposed amendments to
the regulations are adopted as final regulations, consideration will be given to
comments that are submitted timely to
the IRS as prescribed in this preamble
under the “ADDRESSES” section. The
Treasury Department and the IRS request
comments on all aspects of the proposed
rules. Any electronic comments submitted, and to the extent practicable any
paper comments submitted, will be available at www.regulations.gov or upon request.
A public hearing will be scheduled if
requested in writing by any person who
timely submits electronic or written comments. Requests for a public hearing are
also encouraged to be made electronically. If a public hearing is scheduled, notice
of the date, time, and place for the public
hearing will be published in the Federal
Register. Announcement 2020-4, 202017 I.R.B. 1, provides that, until further
notice, public hearings conducted by the
IRS will be held telephonically. Any telephonic hearing will be made accessible to
people with disabilities.
Drafting Information
The principal authors of these regulations are Naomi Lehr and Pamela R
Kinard of the Office of Associate Chief
Counsel (Employee Benefits, Exempt Organizations, and Employment Taxes), although other persons in the IRS and the
556
Treasury Department participated in their
development.
List of Subjects in 26 CFR Part 1
Income taxes, Reporting and recordkeeping requirements.
Proposed Amendments to the
Regulations
Accordingly, 26 CFR part 1 is proposed to be amended as follows:
PART 1—INCOME TAXES
Paragraph 1. The authority citation for
part 1 continues to read in part as follows:
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 1.402(c)-3 is added to
read as follows:
§1.402(c)-3 Eligible rollover
distributions; Qualified plan loan
offsets
(a)(1) Q-1 What special rollover rules
apply to a plan loan offset amount (including a qualified plan loan offset amount)?
(2) A-1—(i) In general—(A) Eligible
rollover distribution. A distribution of a
plan loan offset amount, as defined in paragraph (a)(2)(ii)(A) of this section (including a qualified plan loan offset amount, a
type of plan loan offset amount defined in
paragraph (a)(2)(ii)(B) of this section), is
an eligible rollover distribution if it satisfies §1.402(c)-2, Q&A-3 and 4.
(B) Other rules relating to plan loan
offset amounts. See §1.401(a)(31)-1,
Q&A-16, for guidance concerning the offering of a direct rollover of a plan loan
offset amount. See also §31.3405(c)-1,
Q&A-11, of this chapter for guidance
concerning special withholding rules with
respect to plan loan offset amounts.
(ii) Rollover period for a plan loan
offset amount—(A) Plan loan offset
amount that is not a qualified plan loan
offset amount. A distribution of a plan
loan offset amount that is an eligible rollover distribution and not a qualified plan
loan offset amount may be rolled over by
the employee (or spousal distributee) to
an eligible retirement plan (as defined in
§1.402(c)-2, Q&A-2) within the 60-day
period set forth in section 402(c)(3)(A).
Bulletin No. 2020–37
(B) Plan loan offset amount that is a
qualified plan loan offset amount. A distribution of a plan loan offset amount that
is an eligible rollover distribution and that
is a qualified plan loan offset amount may
be rolled over by the employee (or spousal distributee) to an eligible retirement
plan within the period set forth in section
402(c)(3)(C), which is the individual’s
tax filing due date (including extensions)
for the taxable year in which the offset is
treated as distributed from a qualified employer plan.
(iii) Definitions—(A) Plan loan offset
amount. For purposes of section 402(c), a
plan loan offset amount is the amount by
which, under the plan terms governing a
plan loan, an employee’s accrued benefit
is reduced (offset) in order to repay the
loan (including the enforcement of the
plan’s security interest in an employee’s
accrued benefit). A distribution of a plan
loan offset amount can occur in a variety
of circumstances, for example, when the
terms governing a plan loan require that,
in the event of the employee’s termination of employment or request for a distribution, the loan be repaid immediately
or treated as in default. A distribution of
a plan loan offset amount also occurs
when, under the terms governing the plan
loan, the loan is cancelled, accelerated,
or treated as if it were in default (for example, when the plan treats a loan as in
default upon an employee’s termination
of employment or within a specified period thereafter). A distribution of a plan
loan offset amount is an actual distribution, not a deemed distribution under section 72(p).
(B) Qualified plan loan offset amount.
For purposes of section 402(c), a qualified plan loan offset amount is a plan loan
offset amount that satisfies the following
requirements:
(1) The plan loan offset amount is
treated as distributed from a qualified employer plan to an employee or beneficiary
solely by reason of the termination of the
qualified employer plan, or the failure to
meet the repayment terms of the loan because of the severance from employment
of the employee; and
(2) The plan loan offset amount relates
to a plan loan that met the requirements of
section 72(p)(2) immediately prior to the
termination of the qualified employer plan
Bulletin No. 2020–37
or the severance from employment of the
employee, as applicable.
(C) Qualified employer plan. For purposes of section 402(c) and this section, a
qualified employer plan is a qualified employer plan as defined in section 72(p)(4).
(iv) Special rules for qualified plan
loan offset amounts—(A) Definition of
severance from employment. For purposes
of paragraph (a)(2)(iii)(B)(1) of this section, whether an employee has a severance
from employment with the employer that
maintains the qualified employer plan is
determined in the same manner as under
§1.401(k)-1(d)(2). Thus, an employee has
a severance from employment when the
employee ceases to be an employee of the
employer maintaining the plan.
(B) Offset because of severance from
employment. A plan loan offset amount is
treated as distributed from a qualified employer plan to an employee or beneficiary
solely by reason of the failure to meet the
repayment terms of a plan loan because of
severance from employment of the employee if the plan loan offset:
(1) Relates to a failure to meet the repayment terms of the plan loan, and
(2) Occurs within the period beginning
on the date of the employee’s severance
from employment and ending on the first
anniversary of that date.
(v) Examples. The following examples
illustrate the rules with respect to plan
loan offset amounts, including qualified
plan loan offset amounts, in this paragraph
(a) and in §§1.401(a)(31)-1, Q&A-16, and
31.3405(c)-1, Q&A-11, of this chapter.
For purposes of these examples, each reference to a plan refers to a qualified employer plan as described in section 72(p)
(4).
(A) Example 1—(1) In 2020, Employee A has
an account balance of $10,000 in Plan Y, of which
$3,000 is invested in a plan loan to Employee A
that is secured by Employee A’s account balance in
Plan Y. Employee A has made no after-tax employee
contributions to Plan Y. The plan loan meets the requirements of section 72(p)(2). Plan Y does not provide any direct rollover option with respect to plan
loans. Employee A severs from employment on June
15, 2020. After severance from employment, Plan Y
accelerates the plan loan and provides Employee A
90 days to repay the remaining balance of the plan
loan. Employee A, who is under the age set forth in
section 401(a)(9)(C)(i)(II), does not repay the loan
within the 90 days and instead elects a direct rollover
of Employee A’s entire account balance in Plan Y.
On September 18, 2020 (within the 12-month period
beginning on the date that Employee A severed from
557
employment), Employee A’s outstanding loan is offset against the account balance.
(2) In order to satisfy section 401(a)(31), Plan
Y must make a direct rollover by paying $7,000 directly to the eligible retirement plan chosen by Employee A. When Employee A’s account balance was
offset by the amount of the $3,000 unpaid loan balance, Employee A received a plan loan offset amount
(equivalent to $3,000) that is an eligible rollover distribution. However, under §1.401(a)(31)-1, Q&A16, Plan Y satisfies section 401(a)(31), even though a
direct rollover option was not provided with respect
to the $3,000 plan loan offset amount.
(3) No withholding is required under section
3405(c) on account of the distribution of the $3,000
plan loan offset amount because no cash or other
property (other than the plan loan offset amount) is
received by Employee A from which to satisfy the
withholding.
(4) The $3,000 plan loan offset amount is a qualified plan loan offset amount within the meaning of
paragraph (a)(2)(iii)(B) of this section. Accordingly,
Employee A may roll over up to the $3,000 qualified
plan loan offset amount to an eligible retirement plan
within the period that ends on the employee’s tax filing due date (including extensions) for the taxable
year in which the offset occurs.
(B) Example 2—(1) The facts are the same as
in paragraph (a)(2)(v)(A) of this section (Example
1), except that, rather than accelerating the plan
loan, Plan Y permits Employee A to continue making loan installment payments after severance from
employment. Employee A continues making loan
installment payments until January 1, 2021, at which
time Employee A does not make the loan installment
payment due on January 1, 2021. In accordance with
§1.72(p)-1, Q&A-10, Plan Y allows a cure period that continues until the last day of the calendar
quarter following the quarter in which the required
installment payment was due. Employee A does not
make a plan loan installment payment during the
cure period. Plan Y offsets the unpaid $3,000 loan
balance against Employee A’s account balance on
July 1, 2021 (which is after the 12-month period beginning on the date that Employee A severed from
employment).
(2) The conclusion is the same as in paragraph
(a)(2)(v)(A) of this section (Example 1), except that
the $3,000 plan loan offset amount is not a qualified
plan loan offset amount (because the offset did not
occur within the 12-month period beginning on the
date that Employee A severed from employment).
Accordingly, Employee A may roll over up to the
$3,000 plan loan offset amount to an eligible retirement plan within the 60-day period provided in section 402(c)(3)(A) (rather than within the period that
ends on Employee A’s tax filing due date (including
extensions) for the taxable year in which the offset
occurs).
(C) Example 3—(1) The facts are the same as in
paragraph (a)(2)(v)(A) of this section (Example 1),
except that the terms governing the plan loan to Employee A provide that, upon severance from employment, Employee A’s account balance is automatically offset by the amount of any unpaid loan balance to
repay the loan. Employee A severs from employment
but does not request a distribution from Plan Y. Nevertheless, pursuant to the terms governing the plan
September 8, 2020
loan, Employee A’s account balance is automatically
offset on June 15, 2020, by the amount of the $3,000
unpaid loan balance.
(2) The $3,000 plan loan offset amount is a qualified plan loan offset amount within the meaning of
paragraph (a)(2)(iii)(B) of this section. Accordingly,
Employee A may roll over up to the $3,000 qualified
plan loan offset amount to an eligible retirement plan
within the period that ends on Employee A’s tax filing due date (including extensions) for the taxable
year in which the offset occurs.
(D) Example 4—(1) The facts are the same as in
paragraph (a)(2)(v)(A) of this section (Example 1),
except that Employee A elects to receive a cash distribution of the account balance that remains after the
$3,000 plan loan offset amount, instead of electing
a direct rollover of the remaining account balance.
(2) The amount of the distribution received by
Employee A is $10,000 (not $3,000). Because the
amount of the $3,000 plan loan offset amount attributable to the loan is included in determining the
amount of the eligible rollover distribution to which
withholding applies, withholding in the amount of
$2,000 (20 percent of $10,000) is required under
section 3405(c). The $2,000 is required to be withheld from the $7,000 to be distributed to Employee A
in cash, so that Employee A actually receives a cash
amount of $5,000.
(3) The $3,000 plan loan offset amount is a qualified plan loan offset amount within the meaning of
paragraph (a)(2)(iii)(B) of this section. Accordingly,
Employee A may roll over up to the $3,000 qualified
plan loan offset to an eligible retirement plan within
the period that ends on the Employee A’s tax filing
due date (including extensions) for the taxable year
in which the offset occurs. In addition, Employee A
may roll over up to $7,000 (the portion of the distribution that is not related to the offset) within the
60-day period provided in section 402(c)(3).
(E) Example 5—(1) The facts are the same as in
paragraph (a)(2)(v)(D) of this section (Example 4),
except that the $7,000 distribution to Employee A
after the offset consists solely of employer securities
within the meaning of section 402(e)(4)(E).
(2) No withholding is required under section
3405(c) because the distribution consists solely of
the $3,000 plan loan offset amount and the $7,000
distribution of employer securities. This is the result
September 8, 2020
because the total amount required to be withheld
does not exceed the sum of the cash and the fair
market value of other property distributed, excluding
plan loan offset amounts and employer securities.
(3) Employee A may roll over up to the $7,000
of employer securities to an eligible retirement plan
within the 60-day period provided in section 402(c)
(3). The $3,000 plan loan offset amount is a qualified plan loan offset amount within the meaning of
paragraph (a)(2)(iii)(B) of this section. Accordingly,
Employee A may roll over up to the $3,000 qualified
plan loan offset amount to an eligible retirement plan
within the period that ends on Employee A’s tax filing due date (including extensions) for the taxable
year in which the offset occurs.
(F) Example 6—(1) Employee B, who is age 40,
has an account balance in Plan Z. Plan Z provides for
no after-tax employee contributions. In 2022, Employee B receives a loan from Plan Z, the terms of
which satisfy section 72(p)(2), and which is secured
by elective contributions subject to the distribution
restrictions in section 401(k)(2)(B).
(2) Employee B fails to make an installment
payment due on April 1, 2023, or any other monthly
payments thereafter. In accordance with §1.72(p)-1,
Q&A-10, Plan Z allows a cure period that continues
until the last day of the calendar quarter following
the quarter in which the required installment payment was due (September 30, 2023). Employee
B does not make a plan loan installment payment
during the cure period. On September 30, 2023,
pursuant to section 72(p)(1), Employee B is taxed
on a deemed distribution equal to the amount of
the unpaid loan balance. Pursuant to §1.402(c)-2,
Q&A4(d), the deemed distribution is not an eligible
rollover distribution.
(3) Because Employee B has not severed from
employment or experienced any other event that permits the distribution under section 401(k)(2)(B) of
the elective contributions that secure the loan, Plan Z
is prohibited from executing on the loan. Accordingly, Employee B’s account balance is not offset by the
amount of the unpaid loan balance at the time of the
deemed distribution. Thus, there is no distribution of
an offset amount that is an eligible rollover distribution on September 30, 2023.
(G) Example 7—(1) The facts are the same as in
in paragraph (a)(2)(v)(F) of this section (Example 6),
558
except that Employee B has a severance from employment on November 1, 2023. On that date, Employee B’s unpaid loan balance is offset against the
account balance on distribution.
(2) The plan loan offset amount is not a qualified plan loan offset amount. Although the offset
occurred within 12 months after Employee B severed from employment, the plan loan does not meet
the requirement in paragraph (a)(2)(iii)(B) of this
section (that the plan loan meet the requirements of
section 72(p)(2) immediately prior to Employee B’s
severance from employment). Instead, the loan was
taxable on September 30, 2023 (prior to Employee
B’s severance from employment on November 1,
2023), because of the failure to meet the level amortization requirement in section 72(p)(2)(C). Accordingly, Employee B may roll over the plan loan offset
amount to an eligible retirement plan within the 60day period provided in section 402(c)(3)(A) (rather
than within the period that ends on Employee B’s tax
filing due date (including extensions) for the taxable
year in which the offset occurs).
(b)(1) Q-2 When are the rules in this
§1.402(c)-3 applicable to plan loan offset
amounts, including qualified plan loan
offset amounts?
(2) A-2 Applicability date. The rules
provided in paragraph (a) of this section
are applicable to plan loan offset amounts,
including qualified plan loan offset
amounts, treated as distributed on or after
the adoption of these rules as final regulations in the Federal Register.
***
*****
Sunita Lough,
Deputy Commissioner for Services
and Enforcement.
(Filed by the Office of the Federal Register on August 17, 2020, 4:15 p.m., and published in the issue
of the Federal Register for August 20, 2020, 85 F.R.
51369)
Bulletin No. 2020–37
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. 2020–37
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.
September 8, 2020
Numerical Finding List1
Bulletin 2020–37
Announcements:
2020-8, 2020-32 I.R.B. 244
2020-9, 2020-32 I.R.B. 244
2020-10, 2020-33 I.R.B. 385
2020-11, 2020-33 I.R.B. 385
2020-13, 2020-35 I.R.B. 492
2020-14, 2020-36 I.R.B. 549
Notices:
2020-43, 2020-27 I.R.B. 1
2020-45, 2020-27 I.R.B. 3
2020-46, 2020-27 I.R.B. 7
2020-47, 2020-27 I.R.B. 7
2020-49, 2020-27 I.R.B. 8
2020-50, 2020-28 I.R.B. 35
2020-48, 2020-29 I.R.B. 72
2020-51, 2020-29 I.R.B. 73
2020-52, 2020-29 I.R.B. 79
2020-53, 2020-30 I.R.B. 151
2020-54, 2020-31 I.R.B. 226
2020-56, 2020-32 I.R.B. 239
2020-57, 2020-32 I.R.B. 240
2020-58, 2020-34 I.R.B. 419
2020-55, 2020-35 I.R.B. 467
2020-61, 2020-35 I.R.B. 468
2020-62, 2020-35 I.R.B. 476
2020-63, 2020-35 I.R.B. 491
2020-60, 2020-36 I.R.B. 514
2020-64, 2020-36 I.R.B. 519
Revenue Rulings:
2020-14, 2020-28 I.R.B. 33
2020-15, 2020-32 I.R.B. 233
2020-16, 2020-37 I.R.B. 550
2020-17, 2020-37 I.R.B. 552
Treasury Decisions:
9899, 2020-29 I.R.B. 62
9900, 2020-30 I.R.B. 143
9903, 2020-32 I.R.B. 235
9901, 2020-33 I.R.B. 266
9902, 2020-33 I.R.B. 349
9904, 2020-34 I.R.B. 413
Proposed Regulations:
REG-119307-19, 2020-28 I.R.B. 44
REG-112339-19, 2020-30 I.R.B. 155
REG-117589-18, 2020-30 I.R.B. 184
REG-125716-18, 2020-30 I.R.B. 197
REG-123027-19, 2020-31 I.R.B. 229
REG-130081-19, 2020-32 I.R.B. 246
REG-127732-19, 2020-33 I.R.B. 385
REG-111879-20, 2020-34 I.R.B. 421
REG-112042-19, 2020-34 I.R.B. 422
REG-132766-18, 2020-34 I.R.B. 436
REG-132434-17, 2020-35 I.R.B. 508
REG-116475-19, 2020-37 I.R.B. 553
Revenue Procedures:
2020-16, 2020-27 I.R.B. 10
2020-31, 2020-27 I.R.B. 12
2020-35, 2020-29 I.R.B. 82
2020-36, 2020-32 I.R.B. 243
2020-37, 2020-33 I.R.B. 381
2020-38, 2020-36 I.R.B. 522
2020-39, 2020-36 I.R.B. 546
A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2019–27 through 2019–52 is in Internal Revenue Bulletin
2019–52, dated December 27, 2019.
1
September 8, 2020
ii
Bulletin No. 2020–37
Finding List of Current Actions on
Previously Published Items1
Bulletin 2020–37
A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2019–27 through 2019–52 is in Internal Revenue Bulletin
2019–52, dated December 27, 2019.
1
Bulletin No. 2020–37
iii
September 8, 2020
Internal Revenue Service
Washington, DC 20224
Official Business
Penalty for Private Use, $300
INTERNAL REVENUE BULLETIN
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