Bulletin No. 2023–46

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Bulletin No. 2023–46

November 13, 2023

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-103525-23, page 1252.

These proposed regulations would update the requirements that a plan sponsor of a single-employer defined

benefit plan must meet to obtain IRS approval to use

mortality tables specific to the plan in calculating present

value for minimum funding purposes (as a substitute for

the generally applicable mortality tables).

T.D. 9983, page 1237.

These regulations prescribe mortality tables to be used for

most defined benefit pension plans. The tables specify the

probability of survival year-by-year for an individual based

on age, gender, and other factors. The tables are used

Finding Lists begin on page ii.

(together with other actuarial assumptions) to calculate the

present value of a stream of expected future benefit payments for purposes of determining the minimum funding

requirements for the plan. These mortality tables are also

relevant for determining the minimum required amount of a

lump-sum distribution from such a plan.

EXEMPT ORGANIZATIONS

Announcement 2023-31, page 1251.

Revocation of IRC 501(c)(3) Organizations for failure to meet

the code section requirements. Contributions made to the

organizations by individual donors are no longer deductible

under IRC 170(b)(1)(A).

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

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

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Revenue rulings represent the conclusions of the Service

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Rulings and procedures reported in the Bulletin do not have the

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may be used as precedents. Unpublished rulings will not be

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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

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Rulings. Bank Secrecy Act Administrative Rulings are issued

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

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

The last Bulletin for each month includes a cumulative index

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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.

November 13, 2023

Bulletin No. 2023–46

Part I

26 CFR 1.430(h)(3)-1; 26 CFR 1.431(c)(6)-1; 26

CFR 1.433(h)(3)-1

T.D. 9983

DEPARTMENT OF THE

TREASURY

Internal Revenue Service

26 CFR Part 1

Mortality Tables for

Determining Present Value

under Defined Benefit

Pension Plans

AGENCY: Internal Revenue Service

(IRS), Treasury.

ACTION: Final regulations.

SUMMARY: This document sets forth

final regulations prescribing mortality

tables to be used for most defined benefit pension plans. The tables specify the

probability of survival year-by-year for an

individual based on age, gender, and other

factors. The tables are used (together with

other actuarial assumptions) to calculate

the present value of a stream of expected

future benefit payments for purposes of

determining the minimum funding requirements for the plan. These mortality tables

are also relevant for determining the minimum required amount of a lump-sum

distribution from such a plan. These regulations affect participants in, beneficiaries of,

employers maintaining, and administrators

of certain defined benefit pension plans.

DATES: Effective date: These regulations

are effective October 20, 2023.

Applicability date: These regulations

apply to valuation dates occurring on or

after January 1, 2024.

Incorporation by reference: The incorporation by reference of certain publications listed in the rule is approved by

the Director of the Federal Register as of

October 20, 2023.

FOR FURTHER INFORMATION

CONTACT: Concerning the regulations,

Arslan Malik or Linda Marshall at (202)

317-6700; concerning the construction

of the base mortality tables and the static

mortality tables for 2024, Christopher

Denning at (202) 317-5755 (not toll free).

SUPPLEMENTARY INFORMATION:

Background

Section 412 of the Internal Revenue

Code (Code) prescribes minimum funding requirements for defined benefit pension plans, and section 430 specifies the

minimum funding requirements that apply

generally to defined benefit plans that are

not multiemployer plans.1 Section 430(a)

defines the minimum required contribution for a plan by reference to the plan’s

funding target for the plan year. Under

section 430(d)(1), a plan’s funding target

for a plan year generally is the present

value of all benefits accrued or earned

under the plan as of the first day of that

plan year.

Section 430(h)(3) provides rules

regarding the mortality tables to be used

under section 430. Under section 430(h)

(3)(A), except as provided in section

430(h)(3)(C) or (D), the Secretary is to

prescribe by regulation mortality tables to

be used in determining any present value

or making any computation under section 430. Those mortality tables are to be

based on the actual mortality experience

of pension plan participants and projected

trends in that experience. In prescribing

those mortality tables, the Secretary is

required to take into account results of

available independent studies of mortality

of individuals covered by pension plans.

Under section 430(h)(3)(B), the Secretary

is required to revise any mortality table in

effect under section 430(h)(3)(A) at least

every 10 years to reflect actual mortality

experience of pension plan participants

and projected trends in that experience.

Under section 430(h)(3)(C), a plan sponsor may request the Secretary’s approval

to use plan-specific substitute mortality

tables that meet requirements specified

in the statute rather than the generally

applicable mortality tables. If approved,

the substitute mortality tables are used to

determine present values and make computations under section 430 during the

period of consecutive plan years (not to

exceed 10) specified in the request.

Section 430(h)(3)(D) provides for

the use of separate mortality tables with

respect to certain individuals who are entitled to benefits on account of disability.

These separate mortality tables are permitted to be used with respect to disabled

individuals in lieu of the generally applicable mortality tables provided pursuant

to section 430(h)(3)(A). The Secretary is

to establish separate tables for individuals

with disabilities occurring in plan years

beginning before January 1, 1995, and for

individuals with disabilities occurring in

later plan years, with the mortality tables

for individuals with disabilities occurring

in those later plan years applying only to

individuals who are disabled within the

meaning of Title II of the Social Security

Act. 2

Section 417(e)(3) generally provides

that the present value of certain benefits

under a qualified pension plan (including single-sum distributions) must not be

less than the present value of the accrued

benefit using applicable interest rates and

the applicable mortality table. Section

417(e)(3)(B) defines the term “applicable mortality table” as the mortality table

specified for the plan year for minimum

funding purposes under section 430(h)(3)

Section 302 of the Employee Retirement Income Security Act of 1974, Pub. L. No. 93-406, 88 Stat. 829 (1974), as amended (ERISA), sets forth funding rules that are parallel to those in

section 412 of the Code, and section 303 of ERISA sets forth additional funding rules for defined benefit plans (other than multiemployer plans) that are parallel to those in section 430 of the

Code. Pursuant to section 101 of Reorganization Plan No. 4 of 1978, 5 U.S.C. App., as amended, the Secretary of the Treasury has interpretive jurisdiction over the subject matter addressed

in these regulations for purposes of ERISA, as well as the Code. Thus, these Treasury regulations issued under section 430 of the Code also apply for purposes of section 303 of ERISA.

Similarly, Treasury regulations under sections 431 and 433 apply for purposes of sections 304 and 306 of ERISA.

Mortality tables that were permitted to be used for disabled participants under section 412(l)(7)(C)(iii)(I) as in effect before 2008 were provided in Rev. Rul. 96-7, 96-3 IRB 12. Notice

2008‑29, 2008-1 CB 637, adopted those tables for use under section 430(h)(3)(D).

Bulletin No. 2023–46

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November 13, 2023

(A) (without regard to the rules for substitute mortality tables under section 430(h)

(3)(C) or mortality tables for disabled individuals under section 430(h)(3)(D)), modified as appropriate by the Secretary. The

modifications made by the Secretary to

the section 430(h)(3)(A) mortality table to

determine the section 417(e)(3)(B) applicable mortality table are not addressed in

these regulations. Revenue Ruling 200767, 2007-2 CB 1047, describes the modifications that are currently applied to

determine the section 417(e)(3)(B) applicable mortality table.

Final regulations under section 430(h)

(3) were published in the Federal Register

on October 5, 2017, in TD 9826, 82 FR

46388 (the 2017 regulations). Section

1.430(h)(3)-1 prescribes base mortality

tables and a set of mortality improvement

rates, which may be reflected through the

use of either generational mortality tables

or static mortality tables. The generational

mortality tables are a series of mortality

tables, one for each year of birth, each of

which fully reflects projected trends in

mortality rates. The static mortality tables

(which are updated annually3) use a single mortality table for all years of birth to

approximate the present value that would

be determined using the generational mortality tables.

The mortality tables included in the

2017 regulations are based on the mortality tables included in the RP-2014

Mortality Tables Report4 (referred to in

this preamble as the RP-2014 mortality tables), which was released by the

Retirement Plan Experience Committee

(RPEC) of the Society of Actuaries (SOA)

in October 2014 (as revised in November

2014), and a set of mortality improvement

rates as released by RPEC in the Mortality

Improvement Scale MP-2016 Report.5

In 2016, RPEC initiated a study of private-sector retirement plans in the U.S. in

order to provide an update to the RP-2014

mortality tables, and in 2019, RPEC

issued the Pri-2012 Private Retirement

Plans Mortality Tables Report (Pri-2012

Report).6 In October 2021, RPEC published the Mortality Improvement Scale

MP-2021 Report (MP-2021 Report),

which includes the latest mortality

improvement scale issued by RPEC.7

The standards prescribed for developing the mortality tables under section

430(h)(3)(A) are the same as the standards that are prescribed for developing

mortality tables for multiemployer plans

under section 431(c)(6)(D)(iv)(II) (which

are used to determine current liability

in order to determine the minimum full

funding limitation under section 431(c)(6)

(B)). These standards also apply for CSEC

plans described in section 414(y) for purposes of developing mortality tables that

are used for purposes of section 433(h)

(3)(B)(i) (to determine current liability in

order to determine the minimum full funding limitation under section 433(c)(2)(C)

and the funded current liability percentage

under section 433(i)).

Proposed regulations to update the mortality tables issued under section 430(h)

(3) and make certain other changes

regarding those tables were published in

the Federal Register on April 28, 2022

(87 FR 25161) (the proposed regulations).

Five comments on the proposed regulations were received. No commenters

requested to speak at the scheduled public

hearing; accordingly, the public hearing

was canceled.

On October 27, 2022, RPEC released

a report titled the “RPEC 2022 Mortality

Improvement Update.”8 Unlike RPEC’s

previously issued reports regarding mortality improvement, this report does not

include a new mortality improvement

scale. RPEC noted that, as of the date of

that report, the most recent year for which

full-year mortality data was available was

2020, which was severely affected by the

COVID-19 pandemic. RPEC concluded

that it would not be appropriate to incorporate, without adjustment, the substantially higher rates of mortality experience

from 2020 into the models RPEC had previously used to project future mortality.9

Therefore, RPEC chose not to release a

new mortality improvement scale in 2022.

Instead, RPEC recommended the use of

an assumed increase in mortality rates to

reflect the impact of the COVID-19 pandemic, which would be phased out after

an appropriate period. RPEC did not recommend a specific level for this assumed

increase but provided data about mortality rates for 2020 through the first half of

2022 and provided examples of assumed

increases that could be used (including the

assumed increase used in the 2022 Annual

Report of the Board of Trustees of the

Federal Old-Age and Survivors Insurance

and Federal Disability Insurance Trust

Funds).

Section 335 of the SECURE 2.0 Act

of 2022 (SECURE 2.0 Act), which was

enacted on December 29, 2022 as Division

T of the Consolidated Appropriations Act,

2023, Pub. L. 117-328 (136 Stat. 4459),

instructs the Secretary or the Secretary’s

delegate to amend the regulations under

section 430(h)(3)(A) no later than June

30, 2024. Under this provision, for valuation dates occurring during or after

2024, the mortality improvement rates

specified in those regulations must not

assume for years beyond the valuation

date mortality improvements at any age

that are greater than 0.78 percent. Section

335 of the SECURE 2.0 Act also instructs

the Secretary (or delegate) to modify the

0.78 percent limitation to reflect material

changes in the overall rate of improvement projected by the Social Security

Administration.

After consideration of public comments received on the proposed regulations (and taking into account section 335

of the SECURE 2.0 Act), the proposed

regulations are adopted by this Treasury

decision, with certain changes. These

changes include: (1) a delay in the applicability date; (2) modifications in the

mortality improvement rates to reflect the

Static mortality tables were published in Notice 2017-60, 2017-43 IRB 365, Notice 2018-02, 2018-2 IRB 281, Notice 2019-26, 2019-15 IRB 943, Notice 2019-67, 2019-52 IRB 1510, Notice

2020-85, 2020-51 IRB 1645, and Notice 2022-22, 2022-20 IRB 1057.

This report is available at https://www.soa.org/globalassets/assets/files/research/exp-study/research-2014-rp-report.pdf.

This report is available at https://www.soa.org/globalassets/assets/Files/Research/Exp-Study/mortality-improvement-scale-mp-2016.pdf.

This report is available at https://www.soa.org/globalassets/assets/files/resources/experience-studies/2019/pri-2012-mortality-tables-report.pdf.

This report is available at https://www.soa.org/globalassets/assets/files/resources/experience-studies/2021/2021-mp-scale-report.pdf.

This report is available at https://www.soa.org/resources/research-reports/2022/rpec-mortality-improvement/.

RPEC noted that, if it had used its standard graduation model and had included 2020 data in accordance with its usual practice, this would have had the effect of elevating mortality improvement rates for periods prior to the pandemic.

November 13, 2023

1238

Bulletin No. 2023–46

expected ongoing impact of COVID-19

on mortality rates and to reflect the 0.78

percent annual cap on mortality improvement rates as required by section 335 of

the SECURE 2.0 Act; and (3) a minor

change related to the treatment of individuals who are not identified as male or

female.

Summary of Comments and

Explanation of Revisions

These regulations set forth the updated

methodology for determining the generally applicable mortality tables that are

used to calculate present value under section 430 of the Code. Pursuant to section

417(e)(3)(B), a modified version of these

tables is used for purposes of determining

the amount of a single-sum distribution

(or another accelerated form of distribution). In addition, these tables are used to

determine current liability for multiemployer plans under section 431(c)(6) and

CSEC plans under section 433(h).

The updated methodology for determining the generally applicable mortality tables under section 430(h)(3)(A) is

issued pursuant to the requirement under

section 430(h)(3)(B) to revise the mortality tables used under section 430 to reflect

the actual mortality experience of pension

plan participants and projected trends in

that experience as well as the requirement

under section 335 of the SECURE 2.0

Act that mortality improvement rates provided under the regulations for years after

the year that includes the applicable valuation date may not exceed 0.78 percent

per year. As under the 2017 regulations

and the proposed regulations, the methodology for determining generally applicable mortality tables involves the separate

determination of base mortality tables and

the projection of mortality improvement.

A. Base Mortality Tables

These regulations adopt the base mortality tables set forth in the proposed

regulations for use under section 430(h)(3)

(A) of the Code, which are derived from

the tables set forth in the Pri-2012 Report.

No commenter suggested any alternative

source for base mortality tables.

Like the base mortality tables provided

in the 2017 regulations, the base mortality

tables set forth in these regulations are gender-distinct and provide separate non-annuitant and annuitant mortality rates. The

base mortality tables have a base year of

2012 (the central year of the experience

study used to develop the mortality tables

in the Pri-2012 Report). These base tables

generally have the same mortality rates

as the employee and non-disabled annuitant mortality rates (amounts weighted)

that were released by RPEC in connection with the Pri-2012 Report. However,

these base tables also include non-annuitant mortality rates for ages below 18 and

above 80 and annuitant mortality rates for

ages below age 50. This generally is the

same approach that was used to develop

the base mortality tables in the 2017 regulations. The preamble to the proposed

regulations describes the methodology

that was used to develop non-annuitant

mortality rates for ages below age 18 and

above age 80 and annuitant mortality rates

for ages below age 50. See 87 FR 25161,

25163.

B. Mortality Improvement

These regulations adopt the methodology set forth in the proposed regulations regarding the adjustment of the base

mortality tables to reflect expected trends

in mortality improvement but use different mortality improvement rates. The

proposed regulations applied the Scale

MP-2021 Rates (the mortality improvement scale in the MP-2021 Report) for

valuation dates in the 2023 calendar

year. This mortality improvement scale

was developed using the same underlying methodology used to develop earlier

mortality improvement scales but reflects

historical population data through 2019

and the change to the RPEC-selected

assumptions for the long-term rate of mortality improvement that was first incorporated in the Mortality Improvement Scale

MP-2020 Report.10

One commenter expressed concern that

the expected long-term improvements in

longevity reflected in the MP-2021 Report

may be overly optimistic and suggested

that regulations apply a cap on the longterm mortality improvement rates used.

Another commenter recommended that

future mortality rates be increased to

reflect the long-term impact of COVID-19.

After considering all the comments and

the RPEC 2022 Mortality Improvement

Update, the Department of the Treasury

(Treasury Department) and the IRS have

decided to adopt a modified version of the

MP-2021 Mortality Improvement Scale

for valuation dates occurring on or after

January 1, 2024. The mortality improvement scale applicable for valuation dates

occurring on or after January 1, 2024,

which is referred to as the 2024 Adjusted

Scale MP-2021 Rates, is based on the

Scale MP-2021 Rates. However, the 2024

Adjusted Scale MP-2021 Rates reflect a

modification to the Scale MP-2021 Rates

that eliminates any mortality improvement

during 2020, 2021, 2022, and 2023 (while

retaining any projected mortality deterioration for those years under the MP-2021

Mortality Improvement Scale).11 In addition, in response to the statutory instruction in section 335 of the SECURE 2.0

Act, the 2024 Adjusted Scale MP-2021

incorporates a cap on mortality improvement rates of 0.78 percent per year for

years after 2024.12 This cap on mortality

improvement rates is statutorily required

by a clear statutory instruction, and public

comment on the cap rate is unnecessary.

The Treasury Department and the IRS

intend to consider new data regarding

mortality trends of the general population as it becomes available (including

future reports and mortality improvement

scales issued by RPEC, as well as projections of mortality improvement issued

This report is available at https://www.soa.org/globalassets/assets/files/resources/experience-studies/2020/mortality-improvement-scale-mp-2020.pdf.

Because the mortality rates provided in these regulations apply beginning in 2024 (that is, after the height of the COVID-19 pandemic), the significantly higher rates of mortality experience during 2020 through 2023 are not determinative of mortality rates for later years. However, the Treasury Department and the IRS expect that mortality in the future will be marginally

higher than what was projected based on mortality experience prior to the COVID-19 pandemic. This expectation has been reflected through the elimination of any mortality improvement

assumption for the years 2020 through 2023.

Because the 0.78 percent cap applies to rates for years after the year that includes the applicable valuation date, the first impact of that cap will be on the mortality rates that are projected

to apply in 2025.

Bulletin No. 2023–46

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November 13, 2023

by the Social Security Administration)

and to specify new mortality improvement rates that reflect updated data when

future modifications become appropriate. Those new mortality improvement rates will incorporate the cap on

mortality improvement rates described

in section 335 of the SECURE 2.0 Act

(including a change to the level of the

0.78 percent cap on annual mortality

improvement rates as a result of any

material changes in the overall rate of

improvement projected by the Social

Security Administration).

C. Use of Static Tables for Small Plans

The 2017 regulations provide for the

use of separate generational non-annuitant

and annuitant mortality tables and separate static non-annuitant and annuitant

mortality tables. However, the proposed

regulations provided for the elimination

of the use of static mortality tables other

than for small plans. This change was proposed because the Treasury Department

and the IRS believe that there was no

longer a need to allow the use of static

mortality tables for larger plans (as most

actuarial firms have the capability to use

generational mortality tables) and to minimize anti-selection by plan sponsors who

determine that the use of static mortality

tables results in lower minimum funding

requirements. No commenters objected to

this change, and these regulations adopt

that change.

D. Individuals not identified as male or

female

One commenter requested that final

regulations clarify how the mortality

tables under section 430(h)(3)(A) are

applied in the case of a participant or beneficiary who identifies as nonbinary. To

address this issue, and to clarify how these

tables should be applied for the portion of

a plan’s population for whom gender data

is not available, the regulations provide

that the plan’s actuary must use a reasonable approach in applying the section

430(h)(3)(A) mortality tables with respect

to the portion of a plan’s population whose

gender is not identified as male or female

(for example, a plan participant who identifies as nonbinary or for whom gender

is not known). The regulations include

two examples of reasonable approaches

that may be used for this purpose. These

two approaches are merely two reasonable methods for determining liabilities

with respect to individuals for whom

male or female gender is not identified,

and other reasonable approaches may be

appropriate.13

Under the first approach, the liability for an individual is determined as the

weighted average of the liability calculated as if the individual were male and

the liability calculated as if the individual

were female, using an appropriate weighting that takes into account the distribution of gender in the plan’s population for

individuals for whom gender is identified.

For example, if the gender distribution in

a plan’s population for whom the gender

is identified is 2/3 male and 1/3 female,

the liability calculated for the individual

would be equal to 2/3 of the liability calculated as if the individual were male and

1/3 of the liability calculated as if the individual were female.

The second approach might be used in

connection with actuarial software that

is not able to apply a weight to individuals in the plan census. Under the second

approach, either male or female status

is assigned randomly to an individual

for whom male or female gender is not

identified in a manner that is expected

to result in an appropriate proportion of

males and females for the plan population

that takes into account the distribution of

gender for individuals in the plan’s population for whom gender is identified. For

example, if the gender distribution in a

plan population for whom the gender is

identified is 2/3 male and 1/3 female, a

gender may be assigned to an individual

for whom gender is not identified based

on the individual’s birthdate, with someone born in the first 8 months of the year

assigned male gender and someone born

in the last 4 months of the year assigned

female gender.

Applicability Date

These regulations apply for valuation

dates occurring on or after January 1,

2024.

Effect of Regulations on Previously

Approved Substitute Mortality Tables

The 2017 regulations also included

rules regarding the use of plan-specific

substitute mortality tables under section 430(h)(3)(C), which are set forth in

§ 1.430(h)(3)‑2. Section 1.430(h)(3)-2(c)

(6)(ii) provides for the early termination

of the use of substitute mortality tables in

certain circumstances, including in conjunction with a replacement of the mortality tables specified in § 1.430(h)(3)-1.

Under § 1.430(h)(3)-2(c)(6)(ii)(E), the

early termination in conjunction with a

replacement of the generally applicable

mortality tables will apply as of a date

specified in guidance published in the

Internal Revenue Bulletin. As stated in the

preamble to the proposed regulations, the

Treasury Department and the IRS generally will not require that the use of previously approved substitute mortality tables

be terminated solely as a result of replacement of the generally applicable mortality

tables.

Proposed regulations modifying the

rules for approving plan-specific substitute mortality tables are being published in

the proposed rules section of this issue of

the Federal Register. Those regulations

are proposed to apply to plan years beginning on or after January 1, 2025. Until

amendments to the plan-specific substitute mortality regulations are finalized—

and an updated revenue procedure that

reflects the final regulations is issued—the

Treasury Department and the IRS will

not require that any previously approved

plan-specific substitute mortality tables be

terminated pursuant to § 1.430(h)(3)-2(c)

(6)(ii)(E).

Incorporation by Reference

Section 1.430(h)(3)-1(b)(1)(iii) of these

regulations provides that the mortality

For example, it might be reasonable to apply an approach based on an equal weighting of male mortality rates and female mortality rates if the gender ratio of the portion of the plan population for whom male or female gender is identified is sufficiently close to 50 percent male and 50 percent female.

November 13, 2023

1240

Bulletin No. 2023–46

improvement rates used to construct generational tables to be used for valuation

dates occurring on or after January 1,

2024, are the 2024 Adjusted Scale

MP-2021 Rates as described in the third

paragraph of section B of the Summary of

Comments and Explanation of Revisions

in this preamble. The Office of the Federal

51. These regulations require that agencies must discuss in the preamble to a rule

or proposed rule the way in which materials that the agency incorporates by reference are reasonably available to interested

persons, and how interested parties can

obtain the materials. 1 CFR 51.5(b). The

2024 Adjusted Scale MP-2021 Rates may

be found at www.irs.gov/retirement-plans/

pension-plan-mortality-tables.

Statement of Availability of IRS

Documents

IRS Revenue Rulings, Revenue

Procedures, and Notices cited in this

document are published in the Internal

Revenue Bulletin (or Cumulative Bulletin)

and are available from the Superintendent

of Documents, U.S. Government Printing

Office, Washington, DC 20402, or by visiting the IRS website at www.irs.gov.

Special Analyses

Pursuant

the

Memorandum

of Agreement, Review of Treasury

Regulations under Executive Order 12866

(June 9, 2023), tax regulatory actions issued

by the IRS are not subject to the requirements of section 6 of Executive Order

12866, as amended. Therefore, a regulatory

impact assessment is not required.

Pursuant to the Regulatory Flexibility

Act (5 U.S.C. chapter 6), it is hereby certified that the regulations will not have a

significant economic impact on a substantial number of small entities. The only

provision that increases regulatory burden is § 1.430(h)(3)-1(b), which generally

requires the use of generational mortality

tables. However, under § 1.430(h)(3)-1(c),

small entities are not required to use generational mortality tables. Therefore, these

regulations will not have a significant economic impact on a substantial number of

small entities.

Bulletin No. 2023–46

Section 202 of the Unfunded Mandates

Reform Act of 1995 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. These regulations do

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.

Executive Order 13132 (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 and funding

requirements of section 6 of the Executive

order. These regulations do not have federalism implications, impose substantial

direct compliance costs on State and local

governments, or preempt State law within

the meaning of the Executive order.

Pursuant to section 7805(f) of the

Code, the proposed regulations that preceded these regulations were submitted

to the Chief Counsel for Advocacy of

the Small Business Administration

for comment on their impact on small

business.

Pursuant to the Congressional Review

Act (5 U.S.C. 801 et seq.), the Office of

Information and Regulatory Affairs designated this rule as not a major rule, as

defined by 5 U.S.C. 804(2).

Drafting Information

The principal authors of these regulations are Arslan Malik and Linda S. F.

Marshall of the Office of Associate Chief

Counsel (Employee Benefits, Exempt

Organizations, and Employment Taxes).

However, other personnel from the Treasury

Department and the IRS participated in the

development of these regulations.

List of Subjects in 26 CFR Part 1

Income taxes, Incorporation by reference, Reporting and recordkeeping

requirements.

1241

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 continues to read, in part, as follows:

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

Par. 2. Section 1.430(h)(3)-1 is revised

to read as follows:

§ 1.430(h)(3)-1 Mortality tables used to

determine present value.

(a) Overview—(1) Standard mortality

tables. This section sets forth rules for the

mortality tables to be used in determining

present value or making any computation

under section 430. These mortality tables

include—

(i) Generational mortality tables

described in paragraph (b) of this section;

and

(ii) Static mortality tables for small

plans described in paragraph (c) of this

section.

(2) Alternative tables—(i) Planspecific mortality tables. In lieu of using

the mortality tables provided under this

section, plan-specific substitute mortality

tables are permitted to be used for purposes of section 430 pursuant to section

430(h)(3)(C), provided that the requirements of § 1.430(h)(3)-2 are satisfied.

(ii) Disabled individuals. In lieu of

using the mortality tables provided under

this section, mortality tables for disabled

individuals are permitted to be used pursuant to section 430(h)(3)(D). These

tables are provided in guidance published

in the Internal Revenue Bulletin. See §

601.601(d) of this chapter.

(3) Individuals not identified as either

male or female. The mortality tables in

this section are applied for an individual

based on the individual’s gender. With

respect to the portion of a plan’s population for which male or female gender is not

identified (for example, because an individual identifies as nonbinary or because

the gender information for an individual

is not available), the plan’s actuary must

use a reasonable approach for determining

liability. Some reasonable approaches for

these individuals include—

November 13, 2023

(i) Determining the liability for an individual for whom male or female gender is

not identified as the weighted average of

the liability calculated as if the individual

were male and the liability calculated as if

the individual were female, with an appropriate weighting that takes into account

the distribution of gender for individuals

in the plan’s population for whom gender

is identified; and

(ii) Assigning either male or female

status randomly to an individual for whom

male or female gender is not identified

in a manner that is expected to result in

an appropriate proportion of males and

females for the plan’s population that

takes into account the distribution of gender for individuals in the plan’s population

for whom gender is identified.

(b) Generational mortality tables—(1)

In general—(i) Construction of generational mortality tables. The generational

mortality tables that are permitted to be

used under section 430(h)(3)(A) and

paragraph (a)(1)(i) of this section are constructed from the base mortality tables

described in paragraph (b)(1)(ii) of this

section and the mortality improvement

rates described in paragraph (b)(1)(iii)

of this section, as adjusted in accordance

with paragraph (b)(1)(v) of this section.

(ii) Base mortality tables. The base

mortality tables are set forth in paragraph

(d) of this section.

(iii) Mortality improvement rates—(A)

Mortality improvement rates for valuation dates occurring on or after January

1, 2024. Except as otherwise provided

in this paragraph (b)(1)(iii), the mortality improvement rates for valuation dates

occurring on or after January 1, 2024, are

the 2024 Adjusted Scale MP-2021 Rates

as incorporated by reference pursuant to

paragraph (b)(1)(iv)(A) of this section.

(B) [Reserved.]

(iv) Incorporation by reference. The

material listed in this paragraph (b)(1)

(iv) is incorporated by reference into this

section with the approval of the Director

of the Federal Register under 5 U.S.C.

552(a) and 1 CFR part 51. This material

is available for inspection at the IRS and

at the National Archives and Records

Administration (NARA). Contact IRS at:

IRS Office of Chief Counsel, Qualified

Plans Branch 1, CC:EEE:EB:QP1, 1111

Constitution Avenue NW, Washington,

DC 20224; (202) 317-6700; www.irs.

gov/retirement-plans/pension-plan-mortality-tables. For information on the

availability of this material at NARA,

visit www.archives.gov/federal-register/

cfr/ibr-locations or email fr.inspection@

nara.gov. The material may be obtained

from IRS: www.irs.gov/retirement-plans/

pension-plan-mortality-tables.

(A) 2024 Adjusted Scale MP-2021

Rates, dated August 11, 2023.

(B) [Reserved]

(2) Application of mortality improvement rates—(i) In general. Under the

generational mortality tables described in

this paragraph (b), the probability of an

individual’s death at a particular age in

the future is determined as the individual’s base mortality rate that applies at that

age (that is, the applicable mortality rate

from the tables set forth in paragraph (d)

of this section for that age, gender, and

status as an annuitant or a non-annuitant)

multiplied by the cumulative mortality

improvement factor for the individual’s

gender and for that age for the period from

the base year for those mortality tables

through the calendar year in which the

individual is projected to reach the particular age. Paragraph (b)(3) of this section

provides an example that shows how the

base mortality tables in paragraph (d) of

this section and the mortality improvement rates for valuation dates occurring

during 2024 are combined to determine

projected mortality rates.

(ii) Cumulative mortality improvement

factor. The cumulative mortality improvement factor for an age and gender for a

period is the product of the annual mortality improvement factors for that age and

gender for each year within that period.

(iii) Annual mortality improvement

factor. The annual mortality improvement factor for an age and gender for a

year is 1 minus the mortality improvement rate that applies for that age and

gender for that year. If that annual mortality improvement rate is greater than 1

(corresponding to a negative mortality

improvement rate), then the projected

mortality rate for that age and gender

for that year is greater than the projected

mortality rate for the same age and gender for the preceding year.

(3) Example of calculation—(i) Calculation of

mortality rate. The mortality rate for 2024 that is

applied to a male annuitant who is age 68 in 2024 is

equal to the product of the mortality rate under paragraph (d) of this section for a male annuitant who

was age 68 in 2012 (0.01418) and the cumulative

mortality improvement factor calculated from the

2024 Adjusted Scale MP-2021 Rates for an age 68

male from 2012 to 2024. The cumulative mortality

improvement factor for age 68 males for the period

from 2012 to 2024 is 0.9827, and the mortality rate

for 2024 for male annuitants who are age 68 in that

year is 0.01393, as shown in the following table.

Table 1 to paragraph (b)(3)(i)

Calendar

Year

Rate of Mortality

Improvement

from Prior Year to Current Year

Annual Mortality

Improvement

Factor (1- Mortality Improvement

Rate)

Cumulative

Mortality

Improvement

Factor

Mortality

Rate

2012

n/a

0.01418

2013

0.0071

0.9929

2014

0.0047

0.9953

0.9882

2015

0.0029

0.9971

0.9854

2016

0.0017

0.9983

0.9837

2017

0.0009

0.9991

0.9828

2018

0.0001

0.9999

0.9827

2019

(0.0001)

1.0001

0.9828

November 13, 2023

1242

Bulletin No. 2023–46

Calendar

Year

Rate of Mortality

Improvement

from Prior Year to Current Year

Annual Mortality

Improvement

Factor (1- Mortality Improvement

Rate)

Cumulative

Mortality

Improvement

Factor

2020

0.0001

0.9999

0.9827

2021

0.0000

1.0000

0.9827

2022

0.0000

1.0000

0.9827

2023

0.0000

1.0000

0.9827

2024

0.0000

1.0000

0.9827

(ii) Probability of survival for an individual. After the projected mortality rates are derived

for each age for each year, the rates are used to

calculate the present value of a benefit stream that

depends on the probability of survival year-by-year.

For example, for purposes of calculating the present

value (for a 2024 valuation date) of future payments

in a benefit stream payable for a male annuitant who

is age 68 in 2024, the probability of survival for the

annuitant is based on the mortality rate for a male

annuitant who is age 68 in 2024 (0.01393), and the

projected mortality rate for a male annuitant who

will be age 69 in 2025 (0.01507), age 70 in 2026

(0.01635), and so on.

(4) Use of the tables—(i) Separate

tables for annuitants and non-annuitants.

Separate mortality tables are provided

for use with respect to annuitants and

non-annuitants. The non-annuitant mortality tables are applied to determine the

probability of survival for a non-annuitant

for the period before the non-annuitant

is projected to commence receiving benefits. The annuitant mortality tables are

applied to determine the present value of

benefits for each annuitant. In addition,

the annuitant mortality tables are applied

for each non-annuitant with respect to

each assumed commencement of benefits for the period beginning with that

assumed commencement. For purposes

of this section, an annuitant means a plan

participant who has commenced receiving benefits and a non-annuitant means

a plan participant who has not yet commenced receiving benefits (for example,

an active employee or a terminated vested

participant). A participant whose benefit

has partially commenced is treated as an

annuitant with respect to the portion of the

benefit that has commenced and treated as

a non-annuitant with respect to the balance

of the benefit. In addition, with respect to

a beneficiary of a participant, the annuitant mortality tables apply for the period

beginning with each assumed commencement of benefits for the participant. If the

Bulletin No. 2023–46

participant has died (or to the extent the

participant is assumed to die before commencing benefits), the annuitant mortality

tables apply with respect to the beneficiary for the period beginning with each

assumed commencement of benefits for

the beneficiary.

(ii) Examples of calculation using separate non-annuitant and annuitant tables.

With respect to a 45-year-old active participant who is projected to commence

receiving an annuity at age 55, the funding target is determined using the non-annuitant mortality tables for the period

before the participant attains age 55 and

using the annuitant mortality tables for

the period ages 55 and above. Similarly,

for a 45-year-old terminated vested participant who is projected to commence

an annuity at age 65, the funding target

is determined using the non-annuitant

mortality tables for the period before the

participant attains age 65 and using the

annuitant mortality tables for ages 65 and

above.

Availability of alternative tables for small

plans—(i) In general. As an alternative to

the generational mortality tables defined

in paragraph (b) of this section, static

mortality tables may be used for a small

plan. The static mortality tables described

in this paragraph (c) are constructed from

the separate non-annuitant and annuitant

static mortality tables described in paragraph (c)(2)(i) of this section, combined

using the procedure described in paragraph (c)(2)(ii) of this section.

(ii) Definition of small plan. For purposes of this paragraph (c), a small plan is

defined as a plan with 500 or fewer total

participants (including both active and

inactive participants and beneficiaries of

deceased participants) on the valuation

date.

1243

Mortality

Rate

0.01393

(iii) Use of static mortality tables. The

static mortality tables that are used for

a valuation date are the static mortality

tables for the calendar year that includes

the valuation date.

(iv) Publication of mortality tables.

The static mortality tables for the 2024

calendar year are set forth in paragraph (e)

of this section.

Note 1 to paragraph (c)(1)(iv): The

static mortality tables for valuation dates

occurring in later calendar years will

be published in the Internal Revenue

Bulletin. See § 601.601(d) of this chapter.

(2) Development of static mortality

tables—(i) Non-annuitant and annuitant mortality tables. The non-annuitant

and annuitant static mortality tables are

determined using the base mortality tables

described in paragraph (b)(1)(ii) of this

section. The rates in those base mortality tables are adjusted using the mortality

improvement rates described in paragraph

(b)(1)(iii) of this section, in accordance

with the rules set forth in paragraph (c)(3)

of this section.

(ii) Combined static mortality tables.

The static mortality tables described in

this paragraph (c) are constructed from

the separate non-annuitant and annuitant

static mortality tables pursuant to paragraph (c)(2)(i) of this section, blended

using the weighting factors in paragraph

(d) of this section. The weighting factors

are applied to develop these combined

static tables using the following equation:

Combined mortality rate = [non-annuitant

rate * (1- weighting factor)] + [annuitant

rate * weighting factor].

(3) Projection of mortality improvements—(i) General rule. Except as provided in paragraph (c)(3)(iii) of this

section, the static mortality tables for a

calendar year are determined by multiplying the applicable mortality rate for

November 13, 2023

each age from the base mortality tables by

both—

(A) The cumulative mortality improvement factor (determined under paragraph

(b)(2)(ii) of this section) for the period

from 2012 through that calendar year; and

(B) The cumulative mortality improvement factor (determined under paragraph

(b)(2)(ii) of this section) for the period

beginning in that calendar year and continuing beyond that calendar year for the

number of years in the projection period

described in paragraph (c)(3)(ii) of this

section.

(ii) Projection period for static mortality tables—(A) In general. The projection

period is 8 years for males and 9 years

for females, as adjusted based on age as

provided in paragraph (c)(3)(ii)(B) of this

section.

(B) Age adjustment. For ages below

80, the projection period is increased by 1

year for each year below age 80. For ages

above 80, the projection period is reduced

(but not below zero) by ⅓ year for each

year above 80.

(iii) Fractional projection periods.

If for an age the number of years in the

projection period determined under paragraph (c)(3)(ii) of this section is not a

whole number, then the mortality rate

for that age is determined by using linear

interpolation between—

(A) The mortality rate for that age that

would be determined under paragraph (c)

(3)(i) of this section if the number of years

in the projection period were the next

lower whole number; and

(B) The mortality rate for that age that

would be determined under paragraph (c)

(3)(i) of this section if the number of years

in the projection period were the next

higher whole number.

(iv) Example. For example, at age 85 the projection period for a male is 6⅓ years (8 years minus

⅓ year for each of the 5 years above age 80). For a

valuation date in 2024, the mortality rate in the static

mortality table for an 85-year-old male is based on

a projection of mortality improvement for 6⅓ years

beyond 2024. Under paragraph (c)(3)(iii) of this section, the mortality rate for an 85-year-old male annuitant in the static mortality table for 2024 is ⅔ times

the projected mortality rate for a male annuitant that

age in 2030 plus ⅓ times the projected mortality rate

for a male annuitant that age in 2031. Accordingly,

the mortality rate for an 85-year-old male annuitant

in the static mortality table for 2024 is 0.08126 (⅔

times the projected mortality rate for an 85‑yearold male annuitant in 2030 (0.08146) plus ⅓ times

the projected mortality rate for an 85-year-old male

annuitant in 2031 (0.08086)).

(d) Base mortality tables. The following are the

base mortality tables. The base year for these tables

is 2012.

Table 2 to paragraph (d)

Males

Females

Age

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

0.00650

0.0000

0.00544

0.0000

0.00045

0.0000

0.00038

0.0000

0.00030

0.0000

0.00023

0.0000

0.00022

0.0000

0.00018

0.0000

0.00019

0.0000

0.00013

0.0000

0.00016

0.0000

0.00012

0.0000

0.00014

0.0000

0.00011

0.0000

0.00013

0.0000

0.00010

0.0000

0.00011

0.0000

0.00009

0.0000

0.00009

0.0000

0.00009

0.0000

0.00008

0.0000

0.00009

0.0000

0.00009

0.0000

0.00009

0.0000

0.00013

0.0000

0.00010

0.0000

0.00017

0.0000

0.00012

0.0000

0.00022

0.0000

0.00013

0.0000

0.00028

0.0000

0.00013

0.0000

0.00034

0.0000

0.00014

0.0000

0.00040

0.0000

0.00015

0.0000

0.00046

0.0000

0.00015

0.0000

0.00053

0.0000

0.00015

0.0000

0.00056

0.0000

0.00015

0.0000

0.00056

0.0000

0.00015

0.0000

0.00056

0.0000

0.00016

0.0000

0.00055

0.0000

0.00018

0.0000

November 13, 2023

1244

Bulletin No. 2023–46

Males

Females

Age

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

0.00055

0.0000

0.00019

0.0000

0.00054

0.0000

0.00019

0.0000

0.00054

0.0000

0.00019

0.0000

0.00054

0.0000

0.00020

0.0000

0.00054

0.0000

0.00020

0.0000

0.00054

0.0000

0.00020

0.0000

0.00055

0.0000

0.00021

0.0000

0.00055

0.0000

0.00022

0.0000

0.00056

0.0000

0.00023

0.0000

0.00058

0.0000

0.00025

0.0000

0.00059

0.0000

0.00026

0.0000

0.00061

0.0000

0.00028

0.0000

0.00063

0.0000

0.00031

0.0000

0.00065

0.0000

0.00034

0.0000

0.00068

0.0000

0.00036

0.0000

0.00071

0.0000

0.00040

0.0000

0.00074

0.0000

0.00043

0.0000

0.00077

0.00082

0.0008

0.00047

0.00049

0.0010

0.00081

0.00099

0.0016

0.00051

0.00061

0.0020

0.00086

0.00124

0.0024

0.00055

0.00078

0.0030

0.00091

0.00158

0.0032

0.00060

0.00101

0.0040

0.00097

0.00200

0.0040

0.00065

0.00130

0.0051

0.00105

0.00251

0.0047

0.00071

0.00165

0.0061

0.00113

0.00310

0.0055

0.00077

0.00206

0.0071

0.00123

0.00378

0.0063

0.00083

0.00252

0.0081

0.00134

0.00454

0.0071

0.00090

0.00304

0.0091

0.00147

0.00539

0.0079

0.00098

0.00362

0.0101

0.00161

0.00544

0.0140

0.00107

0.00426

0.0185

0.00177

0.00565

0.0209

0.00116

0.00495

0.0262

0.00194

0.00588

0.0302

0.00126

0.00500

0.0349

0.00213

0.00616

0.0430

0.00137

0.00512

0.0449

0.00234

0.00647

0.0898

0.00148

0.00517

0.0853

0.00257

0.00686

0.1676

0.00161

0.00522

0.1535

0.00281

0.00728

0.2153

0.00175

0.00528

0.1923

0.00308

0.00770

0.2635

0.00190

0.00561

0.2291

0.00338

0.00811

0.3144

0.00206

0.00601

0.2680

0.00369

0.00848

0.3821

0.00224

0.00643

0.3192

0.00403

0.00882

0.4579

0.00243

0.00690

0.3731

0.00441

0.00918

0.5935

0.00264

0.00743

0.4705

0.00481

0.00960

0.7153

0.00287

0.00796

0.5668

0.00525

0.01014

0.7764

0.00312

0.00859

0.6230

0.00573

0.01087

0.8454

0.00339

0.00928

0.7172

0.00636

0.01178

0.9002

0.00380

0.01003

0.8006

0.00706

0.01288

0.9275

0.00427

0.01089

0.8414

0.00784

0.01418

0.9431

0.00480

0.01192

0.8658

0.00870

0.01564

0.9547

0.00540

0.01309

0.8857

Bulletin No. 2023–46

1245

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

November 13, 2023

Males

Females

Age

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

0.00967

0.01729

0.9642

0.00606

0.01444

0.9046

0.01073

0.01914

0.9732

0.00681

0.01597

0.9240

0.01192

0.02121

0.9791

0.00765

0.01770

0.9365

0.01323

0.02354

0.9823

0.00860

0.01967

0.9437

0.01469

0.02613

0.9847

0.00966

0.02192

0.9512

0.01632

0.02905

0.9868

0.01085

0.02445

0.9568

0.01812

0.03233

0.9889

0.01219

0.02727

0.9637

0.02012

0.03604

0.9906

0.01370

0.03042

0.9682

0.02234

0.04026

0.9920

0.01539

0.03391

0.9727

0.02480

0.04504

0.9935

0.01729

0.03775

0.9765

0.02754

0.05046

1.0000

0.01943

0.04198

1.0000

0.02989

0.05657

1.0000

0.02134

0.04663

1.0000

0.03460

0.06343

1.0000

0.02516

0.05178

1.0000

0.04166

0.07114

1.0000

0.03089

0.05754

1.0000

0.05108

0.07977

1.0000

0.03853

0.06401

1.0000

0.06285

0.08946

1.0000

0.04808

0.07132

1.0000

0.07698

0.10032

1.0000

0.05955

0.07954

1.0000

0.09346

0.11248

1.0000

0.07293

0.08879

1.0000

0.11229

0.12600

1.0000

0.08822

0.09936

1.0000

0.13348

0.14088

1.0000

0.10542

0.11124

1.0000

0.15703

1.0000

0.12453

1.0000

0.17401

1.0000

0.13818

1.0000

0.19151

1.0000

0.15250

1.0000

0.20936

1.0000

0.16737

1.0000

0.22742

1.0000

0.18274

1.0000

0.24569

1.0000

0.19863

1.0000

0.26415

1.0000

0.21509

1.0000

0.28281

1.0000

0.23214

1.0000

0.30169

1.0000

0.24983

1.0000

0.32077

1.0000

0.26814

1.0000

100

0.33996

1.0000

0.28698

1.0000

101

0.35910

1.0000

0.30619

1.0000

102

0.37794

1.0000

0.32549

1.0000

103

0.39633

1.0000

0.34472

1.0000

104

0.41415

1.0000

0.36375

1.0000

105

0.43131

1.0000

0.38243

1.0000

106

0.44771

1.0000

0.40065

1.0000

107

0.46329

1.0000

0.41828

1.0000

108

0.47800

1.0000

0.43522

1.0000

109

0.49181

1.0000

0.45139

1.0000

110

0.50000

1.0000

0.46673

1.0000

111

0.50000

1.0000

0.48120

1.0000

112

0.50000

1.0000

0.49477

1.0000

113

0.50000

1.0000

0.50000

1.0000

114

0.50000

1.0000

0.50000

1.0000

115

0.50000

1.0000

0.50000

1.0000

November 13, 2023

1246

Bulletin No. 2023–46

Males

Females

Age

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

116

0.50000

1.0000

0.50000

1.0000

117

0.50000

1.0000

0.50000

1.0000

118

0.50000

1.0000

0.50000

1.0000

119

0.50000

1.0000

0.50000

1.0000

120

1.00000

1.0000

1.00000

1.0000

(e) Static tables for 2024. The following static

mortality tables are used pursuant to paragraph

Non-Annuitant

Annuitant

Weighting

Factor

For Small

Plans

(a)(1)(ii) of this section for determining present

value or making any computation under section

430 with respect to valuation dates occurring

during 2024.

Table 3 to paragraph (e)

Bulletin No. 2023–46

Age

Male

Female

0.00356

0.00306

0.00025

0.00022

0.00017

0.00013

0.00012

0.00010

0.00011

0.00008

0.00009

0.00007

0.00008

0.00007

0.00008

0.00006

0.00005

0.00006

0.00005

0.00006

0.00008

0.00006

0.00010

0.00008

0.00013

0.00008

0.00017

0.00008

0.00021

0.00009

0.00025

0.00010

0.00029

0.00010

0.00034

0.00010

0.00036

0.00010

0.00037

0.00010

0.00037

0.00011

0.00038

0.00013

0.00039

0.00014

0.00040

0.00014

0.00041

0.00015

0.00043

0.00016

0.00044

0.00016

0.00046

0.00017

0.00049

0.00018

0.00050

0.00019

0.00053

0.00021

1247

November 13, 2023

Age

Male

Female

0.00056

0.00023

0.00059

0.00024

0.00062

0.00026

0.00065

0.00029

0.00067

0.00031

0.00070

0.00032

0.00072

0.00035

0.00074

0.00037

0.00075

0.00039

0.00077

0.00041

0.00079

0.00043

0.00081

0.00045

0.00084

0.00048

0.00088

0.00051

0.00092

0.00055

0.00098

0.00059

0.00104

0.00064

0.00113

0.00070

0.00124

0.00080

0.00137

0.00090

0.00153

0.00101

0.00173

0.00115

0.00206

0.00138

0.00253

0.00170

0.00296

0.00195

0.00344

0.00225

0.00397

0.00258

0.00458

0.00299

0.00523

0.00343

0.00615

0.00409

0.00703

0.00478

0.00774

0.00537

0.00861

0.00619

0.00957

0.00707

0.01054

0.00786

0.01163

0.00871

0.01283

0.00968

0.01419

0.01082

0.01575

0.01217

0.01750

0.01368

0.01949

0.01540

0.02175

0.01742

0.02433

0.01975

0.02729

0.02240

0.03069

0.02540

0.03460

0.02878

0.03912

0.03254

0.04442

0.03715

0.05008

0.04158

1248

Bulletin No. 2023–46

Age

Male

Female

0.05649

0.04650

0.06372

0.05202

0.07192

0.05823

0.08126

0.06527

0.09180

0.07337

0.10364

0.08255

0.11688

0.09305

0.13148

0.10480

0.14733

0.11790

0.16404

0.13141

0.18111

0.14547

0.19847

0.16007

0.21588

0.17495

0.23319

0.19020

0.25152

0.20655

0.27010

0.22354

0.28899

0.24127

0.30836

0.25965

100

0.32788

0.27862

101

0.34742

0.29799

102

0.36672

0.31750

103

0.38574

0.33705

104

0.40436

0.35650

105

0.42191

0.37576

106

0.43897

0.39452

107

0.45520

0.41279

108

0.47064

0.43024

109

0.48536

0.44694

110

0.49448

0.46282

111

0.49552

0.47794

112

0.49656

0.49215

113

0.49756

0.49820

114

0.49870

0.49900

115

0.49975

0.49980

116

0.49990

117

0.49995

0.50000

118

0.50000

119

0.50000

120

1.00000

(f) Applicability date. This section

applies for valuation dates occurring on or

after January 1, 2024.

Par. 3. Section 1.430(h)(3)-2 is

amended by:

a. In paragraph (c)(3)(ii) deleting the

text “§ 1.430(h)(3)-1(a)(2)(i)(E)” and

adding in its place “§ 1.430(h)(3)-1(b)(2)

(ii)”;

b. Revising paragraph (c)(6)(ii)(E); and

Bulletin No. 2023–46

c. In paragraph (d)(4)(iii)(A):

i. Deleting the text “§ 1.430(h)(3)1(a)(2)(i)(E)” and adding in its place “§

1.430(h)(3)-1(b)(2)(ii)”;

ii. Deleting “2006” and adding in its

place “2012”; and

iii. Deleting the text “§ 1.430(h)(3)1(a)(2)(i)(C)” and adding in its place “§

1.430(h)(3)-1(b)(1)(iii).”

The revision reads as follows:

1249

§ 1.430(h)(3)-2 Plan-specific substitute

mortality tables used to determine

present value.

*****

(6) ***

(ii) ***

(E) The date specified in guidance published in the Internal Revenue Bulletin (see

November 13, 2023

§ 601.601(d) of this chapter) in conjunction with a replacement of mortality tables

specified under section 430(h)(3)(A) and

§ 1.430(h)(3)-1 (other than changes to

the mortality improvement rates under §

1.430(h)(3)-1(b)(1)(iii) or annual updates

to the static mortality tables issued as

noted in § 1.430(h)(3)-1(c)(1)(iv)).

*****

Par. 4. Section 1.431(c)(6)-1 is revised

to read as follows:

§ 1.431(c)(6)-1 Mortality tables used to

determine current liability.

(a) Mortality tables used to determine

current liability. In accordance with section 431(c)(6)(D), the mortality assumptions that apply to a single-employer

defined benefit plan for the plan year pursuant to section 430(h)(3)(A) and (D) and

§§ 1.430(h)(3)-1(a)(1) and (a)(2)(ii) are

used to determine a multiemployer plan’s

current liability for purposes of applying

the rules of section 431(c)(6). For purposes of this paragraph (a), either the generational mortality tables used pursuant to

November 13, 2023

§ 1.430(h)(3)-1(b) or the static mortality

tables used pursuant to § 1.430(h)(3)-1(c)

are permitted to be used without regard to

whether the plan is a small plan. However,

substitute mortality tables under §§

1.430(h)(3)-1(a)(2)(i) and 1.430(h)(3)-2

are not permitted to be used for purposes

of this paragraph (a).

(b) Applicability date. This section

applies for valuation dates occurring on or

after January 1, 2024.

Par. 5. Section 1.433(h)(3)-1 is revised

to read as follows:

§ 1.433(h)(3)-1 Mortality tables used to

determine current liability.

(a) Mortality tables used to determine

current liability. In accordance with section 433(h)(3)(B), the mortality assumptions that apply to a single-employer

defined benefit plan for the plan year

pursuant to section 430(h)(3)(A) and (D)

and §§ 1.430(h)(3)-1(a)(1) and (a)(2)(ii)

are used to determine a cooperative and

small employer charity (CSEC) plan’s

current liability under section 433(h). For

1250

purposes of this paragraph (a), either the

generational mortality tables used pursuant to § 1.430(h)(3)-1(b) or the static mortality tables used pursuant to § 1.430(h)

(3)-1(c) are permitted to be used without

regard to whether the plan is a small plan

as defined in § 1.430(h)(3)-1(c)(1)(ii).

However, substitute mortality tables under

§§ 1.430(h)(3)-1(a)(2)(i) and 1.430(h)

(3)-2 are not permitted to be used for purposes of this paragraph (a).

(b) Applicability date. This section

applies for valuation dates occurring on or

after January 1, 2024.

Douglas W. O’Donnell,

Deputy Commissioner for Services and

Enforcement.

Approved: October 4, 2023.

Lily L. Batchelder,

Assistant Secretary of the Treasury

(Tax Policy).

(Filed by the Office of the Federal Register October

19, 2023, 8:45 a.m., and published in the issue of the

Federal Register for October 20, 2023, 88 FR 72357)

Bulletin No. 2023–46

Part IV

Deletions From

Cumulative List

of Organizations,

Contributions to Which

are Deductible Under

Section 170 of the Code

Announcement 2023-31

The Internal Revenue Service has

revoked its determination that the organizations listed below qualify as organizations described in sections 501(c)(3) and

170(c)(2) of the Internal Revenue Code of

1986.

Generally, the IRS will not disallow

deductions for contributions made to a

listed organization on or before the date

of announcement in the Internal Revenue

Bulletin that an organization no longer

qualifies. However, the IRS is not precluded from disallowing a deduction for

any contributions made after an organization ceases to qualify under section 170(c)

(2) if the organization has not timely filed

a suit for declaratory judgment under section 7428 and if the contributor (1) had

knowledge of the revocation of the ruling

or determination letter, (2) was aware that

such revocation was imminent, or (3) was

in part responsible for or was aware of the

activities or omissions of the organization

that brought about this revocation.

NAME OF ORGANIZATION

ST. JOHNS HOUSE LEARNING AND

DEVELOPMENT CENTER INC

VILLAGERS FOR TRUMP INC

UNISON DUET MUSIC PRODUCTION INC

Bulletin No. 2023–46

Effective Date

Of Revocation

08/01/2020

12/31/2019

09/19/2018

1251

If on the other hand a suit for declaratory judgment has been timely filed,

contributions from individuals and organizations described in section 170(c)(2)

that are otherwise allowable will continue

to be deductible. Protection under section 7428(c) would begin on November

13, 2023 and would end on the date the

court first determines the organization is

not described in section 170(c)(2) as more

particularly set for in section 7428(c)(1).

For individual contributors, the maximum

deduction protected is $1,000, with a husband and wife treated as one contributor.

This benefit is not extended to any individual, in whole or in part, for the acts or

omissions of the organization that were

the basis for revocation.

LOCATION

HUNTINGTON, WEST VIRGINIA

THE VILLAGE, FL

GLENDALE, CA

November 13, 2023

Notice of Proposed

Rulemaking

Plan-Specific Substitute

Mortality Tables for

Determining Present Value

REG-103525-23

AGENCY: Internal Revenue Service

(IRS), Treasury.

ACTION: Notice of proposed rulemaking.

SUMMARY: This document sets forth

proposed regulations that would update

the requirements that a plan sponsor of a

single-employer defined benefit plan must

meet to obtain IRS approval to use mortality tables specific to the plan in calculating present value for minimum funding

purposes (as a substitute for the generally

applicable mortality tables). These regulations would affect participants in, beneficiaries of, employers maintaining, and

administrators of certain retirement plans.

DATES: Written or electronic comments

and requests for a public hearing must be

received by December 19, 2023.

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-103525-23) by following the online

instructions for submitting comments.

Requests for a public hearing must be

submitted as prescribed in the “Comments

and Requests for a Public Hearing” section. Once submitted to the Federal

eRulemaking Portal, comments cannot be

edited or withdrawn. The Department of

the Treasury (Treasury Department) and

the IRS will publish for public availability any comments submitted to the IRS’s

public docket. Send paper submissions to:

CC:PA:LPD:PR (REG-103525-23), room

5203, Internal Revenue Service, PO Box

7604, Ben Franklin Station, Washington,

DC 20044.

FOR FURTHER INFORMATION

CONTACT: Concerning the regulations,

Arslan Malik or Linda S. F. Marshall at

(202) 317-6700 (not a toll-free number);

concerning submissions of comments

and requests for a public hearing, Vivian

Hayes at (202) 317-6901 (not a toll-free

number) or by sending an email to publichearings@irs.gov (preferred).

SUPPLEMENTARY INFORMATION:

Background

Section 412 of the Internal Revenue

Code (Code) prescribes minimum funding

requirements for defined benefit pension

plans. Section 430 specifies the minimum

funding requirements that apply generally

to defined benefit plans that are single-employer plans (that is, not multiemployer

plans).1 For a plan subject to section

430, section 430(a) defines the minimum

required contribution for a plan year by

reference to the plan’s funding target for

the plan year. Under section 430(d)(1), a

plan’s funding target for a plan year generally is the present value of all benefits

accrued or earned under the plan as of the

first day of that plan year.

Section 430(h)(3) provides rules

regarding the mortality tables to be used

under section 430. Under section 430(h)

(3)(A), except as provided in section

430(h)(3)(C) or (D), the Secretary is to

prescribe by regulation mortality tables to

be used in determining any present value

or making any computation under section

430. Section 430(h)(3)(C) prescribes rules

for a plan sponsor’s use of substitute mortality tables reflecting the specific mortality experience of a plan’s population

instead of using the generally applicable

mortality tables. Under section 430(h)

(3)(C), the plan sponsor may request the

Secretary’s approval to use plan-specific

substitute mortality tables that meet

requirements specified in the statute. If the

Secretary determines that the proposed

tables meet the statutory standards and

approves the request, the substitute mortality tables are used to determine present

values and make computations under section 430 during the period of consecutive

plan years (not to exceed 10) specified in

the request.

Under section 430(h)(3)(C)(iii), a substitute mortality table may be used for a

plan only if: (1) the plan has a sufficient

number of plan participants and has been

maintained for a sufficient period of time

to have credible mortality information

necessary to create a substitute mortality

table; and (2) the table reflects the actual

mortality experience of the plan’s participants and projected trends in general

mortality experience. Except as provided

by the Secretary, a plan sponsor may not

use substitute mortality tables for any

plan unless substitute mortality tables are

established and used for each plan maintained by the plan sponsor or a member of

its controlled group.

Final regulations (TD 9826) under

section 430(h)(3) were published in the

Federal Register on October 5, 2017 (82

FR 46388). The final regulations issued

in 2017 include rules regarding generally applicable mortality tables, which

are set forth in §1.430(h)(3)-1 (the 2017

general mortality table regulations), as

well as rules regarding substitute mortality tables, which are set forth in §1.430(h)

(3)-2 (the 2017 substitute mortality table

regulations). The 2017 substitute mortality table regulations provide that any substitute mortality tables must be based on

the plan’s mortality experience during an

experience study period that consists of 2,

3, 4, or 5 consecutive 12-month periods. In

conjunction with the 2017 substitute mortality table regulations, the Department of

the Treasury (Treasury Department) and

the IRS issued Rev. Proc. 2017-55, 201743 IRB 373, which sets forth the procedure

by which a plan sponsor of a defined benefit plan may request and obtain approval

Section 302 of the Employee Retirement Income Security Act of 1974, Pub. L. No. 93-406, 88 Stat. 829 (1974), as amended (ERISA), sets forth funding rules that are parallel to those in

section 412 of the Code, and section 303 of ERISA sets forth additional funding rules for defined benefit plans (other than multiemployer plans) that are parallel to those in section 430 of the

Code. Pursuant to section 101 of Reorganization Plan No. 4 of 1978, 5 U.S.C. App., as amended, the Secretary of the Treasury has interpretive jurisdiction over the subject matter addressed

in these proposed regulations for purposes of ERISA, as well as the Code. Thus, these proposed Treasury regulations issued under section 430 of the Code would also apply for purposes of

section 303 of ERISA.

November 13, 2023

1252

Bulletin No. 2023–46

for the use of plan-specific substitute mortality tables.

Beginning in 2020 and extending into

2023, for many pension plans, the mortality experience of the plan participants was

significantly higher than expected due to

the COVID-19 pandemic. The Treasury

Department and the IRS are concerned

that, if a plan sponsor applied for approval

of plan-specific substitute mortality tables

using an experience study period that

reflects the actual mortality experience for

the plan’s population during those years,

then the existing rules and procedures

used for generating those tables would

result in plan-specific substitute mortality

tables that overstate the expected future

mortality for the plan’s population. This

is because substitute mortality tables are

constructed based on a mortality ratio calculated for the plan’s population, which

is determined by dividing the actual mortality experience for plan participants

during the experience study period by the

expected mortality under the generally

applicable mortality tables. In the absence

of any changes to the rules and procedures

for generating plan-specific substitute

mortality tables, a mortality ratio developed using an experience study period that

includes the period in which the COVID19 pandemic occurred (COVID-19 pandemic period) will likely be unusually

high, as the numerator of the mortality

ratio (the plan’s actual experience) will

reflect the actual number of deaths during

this period, while the denominator of that

ratio (the expected deaths for the plan

population) will be based on the expected

number of deaths from the generally

applicable mortality tables (which reflect

only a small fraction of the significant

short-term increase in mortality rates that

occurred during the COVID-19 pandemic

period).

The Treasury Department and the IRS

are issuing final regulations updating

the generally applicable mortality tables

under section 430(h)(3)(A) (TD 9983) in

the Rules and Regulations section of this

issue of the Federal Register. Those final

regulations adopt mortality tables that are

based on the mortality tables in the Pri2012 Private Retirement Plans Mortality

Tables Report (Pri-2012),2 which were

developed using the mortality experience

for private sector pension plans during

the period from 2010 to 2014. In light of

the fact that the Pri-2012 mortality tables

did not reflect any mortality experience

from the COVID-19 pandemic period,

the preamble to the proposed regulations

that preceded those final regulations asked

for comments about whether the rules and

procedures relating to development of

substitute mortality tables should be modified to recognize the potential that the

mortality experience for the COVID-19

pandemic period is not accurately predictive of the future mortality experience for

participants of a plan for which substitute

mortality tables are requested. In response,

commenters suggested various solutions

that included: (1) excluding mortality data

from the COVID-19 pandemic period, (2)

applying a reduced weight to the mortality data from the COVID-19 pandemic

period in developing the substitute mortality tables, (3) extending the duration

of the experience study period (which has

a similar effect of reducing the weight of

the mortality data for that period), and (4)

computing the mortality ratio for a substitute mortality table by comparing pre2020 data to the Pri-2012 base mortality

table and post-2019 data to the Pri-2012

base mortality table (as projected) with a

specified load.

Explanation of Provisions

These proposed regulations would

generally retain the methodology for

development of substitute mortality tables

included in the 2017 substitute mortality

table regulations but provide additional

rules regarding the use of mortality experience data for the COVID-19 pandemic

period. In order to develop a mortality

ratio that is more accurately predictive of

future mortality experience for a plan population, these proposed regulations would

provide that the expected deaths for the

plan population used in determining the

denominator in the mortality ratio are calculated by adjusting the mortality rates in

the generally applicable mortality tables.

Specifically, the proposed regulations

would provide that, for each 12-month

period that is included in the experience

study period and that begins after 2019

and before 2024, the expected mortality rate for an individual is determined

by multiplying the expected mortality

rate for that individual from the standard

mortality tables by an adjustment factor.3

The adjustment factor for each of these

years would approximate the ratio (as

reported by the National Center for Health

Statistics, which is part of the Centers for

Disease Control and Prevention)4 of (1)

the actual number of deaths for the general

population for the year to (2) the expected

number of deaths for the general population for that year.

Applicability Date

The proposed regulations are proposed

to apply for plan years beginning on or

after January 1, 2025.

Statement of Availability of IRS

Documents

IRS Revenue Rulings, Revenue

Procedures, and Notices cited in this document are published in the Internal Revenue

Bulletin (or Cumulative Bulletin) and

are available from the Superintendent of

Documents, U.S. Government Publishing

Office, Washington, DC 20402, or by visiting the IRS website at www.irs.gov.

Special Analyses

Pursuant to the Memorandum

of Agreement, Review of Treasury

Regulations under Executive Order 12866

(June 9, 2023), tax regulatory actions

issued by the IRS are not subject to the

requirements of section 6 of Executive

Order 12866, as amended. Therefore,

The Pri-2012 Report can be found at: https://www.soa.org/49c106/globalassets/assets/files/resources/experience-studies/2019/pri-2012-mortality-tables-report.pdf.

This approach is similar to the fourth approach suggested by commenters, as described in the Background section of this preamble because a direct adjustment to the expected mortality

rates during the COVID-19 pandemic period would be more appropriate than calculating mortality ratios using an approach that either ignores the mortality experience during the COVID-19

pandemic period or reduces the weighting of that experience.

https://www.cdc.gov/nchs/nvss/vsrr/covid19/excess_deaths.htm

Bulletin No. 2023–46

1253

November 13, 2023

a regulatory impact assessment is not

required.

It is hereby certified that this proposed

rule will not have a significant economic

impact on a substantial number of small

entities. Small employers generally cannot use plan-specific substitute mortality

tables because their defined benefit pension plans do not have credible mortality

experience (which is defined as a minimum number of deaths during the experience study period) as is required to use

substitute mortality tables. Therefore, a

regulatory flexibility analysis under the

Regulatory Flexibility Act is not required.

Pursuant to section 7805(f) of the Code,

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.

Section 202 of the Unfunded Mandates

Reform Act of 1995 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.

The proposed regulations do not propose

any rule that would 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.

Executive Order 13132 (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 and funding

requirements of section 6 of the Executive

order. The proposed regulations do not

propose rules that would have federalism

implications, impose substantial direct

compliance costs on State and local governments, or preempt State law within the

meaning of the Executive order.

Comments and Requests for a Public

Hearing

Consideration will be given to comments that are submitted timely to the

November 13, 2023

IRS as prescribed in the preamble under

the ADDRESSES section. The Treasury

Department and the IRS request comments on all aspects of these proposed

regulations. Any comments submitted will

be made 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 and time for the public hearing

will be published in the Federal Register.

Drafting Information

The principal authors of these regulations are Arslan Malik and Linda S. F.

Marshall of the Office of Associate Chief

Counsel (Employee Benefits, Exempt

Organizations, and Employment Taxes).

However, other personnel from Treasury

and the IRS participated in the development of these regulations.

List of Subjects in 26 CFR Part 1

Income taxes, Reporting and recordkeeping requirements.

Proposed Amendments to the

Regulations

Accordingly, the Treasury Department

and the IRS propose to amend 26 CFR

part 1 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 1.430(h)(3)-2 is

amended by:

a. In paragraph (a) removing “§

601.601(d)(2)(ii)(b)” and adding in its

place “§ 601.601(d)”;

b. In paragraph (d)(2)(ii)(B) removing

the text “January 1, 2019 year is” and adding in its place the text “January 1, 2019

is”;

c. Revising paragraph (d)(4)(iii)(A).

d. Redesignating paragraph (d)(4)(iii)

(B) as paragraph (d)(4)(iii)(C) and adding

a new paragraph (d)(4)(iii)(B).

1254

e. Revising paragraph (g).

The additions and revisions read as

follows:

§1.430(h)(3)-2 Plan-specific substitute

mortality tables used to determine

present value.

*****

(d) * * *

(4) * * *

(iii) * * *

(A) Projection of base table. Except as

otherwise provided in this paragraph (d)

(4)(iii), the standard mortality table for a

year is the mortality table determined by

applying cumulative mortality improvement factors determined under §1.430(h)

(3)-1(b)(2)(ii) to the base mortality table

under §1.430(h)(3)-1(d) for the period

beginning with the base year for that mortality table and ending in the base year

for the base substitute mortality table

determined under paragraph (c)(3)(ii) of

this section. For purposes of the preceding sentence, the cumulative mortality

improvement factors are determined using

the mortality improvement rates described

in §1.430(h)(3)-1(b)(1)(iii) that apply for

the calendar year during which the plan

sponsor submits the request for approval

to use substitute mortality tables.

(B) Adjustments to standard mortality

table for 2020, 2021, 2022, and 2023. If

a 12-month period in the experience study

period begins after December 31, 2019,

and before January 1, 2024, the probability of death for an individual under paragraph (d)(4)(ii)(A)(2)(i) of this section is

determined as the mortality rate for the

individual’s age (at the beginning of the

year) and gender from the standard mortality table determined under paragraph

(d)(4)(iii) of this section multiplied by the

adjustment factor in Table 1 for the calendar year that includes the first day of

the 12-month period. For example, for an

experience study period that begins April

1, 2019, and ends March 31, 2023, the

probability of death for the year beginning April 1, 2022, for a male annuitant

who is age 65 as of that date is the probability of death from the base mortality

table (0.01087), multiplied by the cumulative mortality improvement factor for

the period from 2012 to 2021 (1.02292)

and by the adjustment factor for the 2022

Bulletin No. 2023–46

calendar year of 1.10, resulting in a probability of death of 0.01223.

Table 1 to paragraph (d)(4)(iii)(B):

Calendar Year

2020

2021

2022

2023

Adjustment Factor

1.15

1.10

1.05

*****

Bulletin No. 2023–46

(g) Applicability date--(1) General

rule. This section applies for plan years

beginning on or after January 1, 2025.

Except as provided in paragraph (g)(2) of

this section, the substitute mortality table

used for a plan for such a plan year must

comply with the rules of paragraphs (a)

through (f) of this section.

(2) Transition rule for previously

approved substitute mortality tables. If a

plan sponsor has received approval from

the Commissioner to use substitute mortality tables for a plan year beginning

1255

in 2025, then the plan’s base substitute

mortality tables that were approved are

treated as satisfying the requirements of

paragraph (d) or (e) of this section, as

applicable.

Douglas W. O’Donnell,

Deputy Commissioner for Services and

Enforcement.

(Filed by the Office of the Federal Register October

19, 2023, 8:45 a.m., and published in the issue of the

Federal Register for October 20, 2023, 88 FR 72409)

November 13, 2023

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. 2023–46

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.

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.

November 13, 2023

Numerical Finding List1

Bulletin 2023–46

Announcements:

2023-18, 2023-30 I.R.B. 366

2023-19, 2023-30 I.R.B. 367

2023-20, 2023-30 I.R.B. 368

2023-17, 2023-31 I.R.B. 412

2023-21, 2023-31 I.R.B. 413

2023-22, 2023-32 I.R.B. 429

2023-23, 2023-34 I.R.B. 569

2023-24, 2023-35 I.R.B. 661

2023-25, 2023-37 I.R.B. 821

2023-26, 2023-37 I.R.B. 822

2023-28, 2023-37 I.R.B. 823

2023-29, 2023-41 I.R.B. 1064

2023-30, 2023-45 I.R.B. 1236

2023-31, 2023-46 I.R.B. 1251

Notices:

2023-29, 2023-29 I.R.B. 1

2023-45, 2023-29 I.R.B. 317

2023-47, 2023-29 I.R.B. 318

2023-37, 2023-30 I.R.B. 359

2023-50, 2023-30 I.R.B. 361

2023-51, 2023-30 I.R.B. 362

2023-54, 2023-31 I.R.B. 382

2023-53, 2023-32 I.R.B. 424

2023-55, 2023-32 I.R.B. 427

2023-57, 2023-34 I.R.B. 560

2023-58, 2023-34 I.R.B. 563

2023-59, 2023-34 I.R.B. 564

2023-52, 2023-35 I.R.B. 650

2023-61, 2023-35 I.R.B. 651

2023-62, 2023-37 I.R.B. 817

2023-56, 2023-38 I.R.B. 824

2023-63, 2023-39 I.R.B. 919

2023-64, 2023-40 I.R.B. 974

2023-66, 2023-40 I.R.B. 992

2023-68, 2023-41 I.R.B. 1060

2023-65, 2023-42 I.R.B. 1067

2023-67, 2023-42 I.R.B. 1074

2023-69, 2023-42 I.R.B. 1079

2023-71, 2023-44 I.R.B. 1191

2023-70, 2023-45 I.R.B. 1228

2023-72, 2023-45 I.R.B. 1228

2023-73, 2023-45 I.R.B. 1232

Proposed Regulations:—Continued

REG-100908-23, 2023-39 I.R.B. 931

REG-115559-23, 2023-42 I.R.B. 1082

REG-106203-23, 2023-43 I.R.B. 1143

REG-113064-23, 2023-43 I.R.B. 1144

REG-117614-14, 2023-44 I.R.B. 1193

REG-127391-16, 2023-44 I.R.B. 1214

REG-103525-23, 2023-46 I.R.B. 1252

Revenue Procedures:

2023-31, 2023-25 I.R.B. 386

2023-26, 2023-33 I.R.B. 486

2023-27, 2023-35 I.R.B. 655

2023-17, 2023-37 I.R.B. 819

2023-30, 2023-40 I.R.B. 995

2023-31, 2023-40 I.R.B. 1057

2023-32, 2023-41 I.R.B. 1064

2023-35, 2023-42 I.R.B. 1079

2023-28, 2023-43 I.R.B. 1092

2023-33, 2023-43 I.R.B. 1135

Revenue Rulings:

2023-13, 2023-32 I.R.B. 413

2023-14, 2023-33 I.R.B. 484

2023-15, 2023-34 I.R.B. 559

2023-16, 2023-37 I.R.B. 796

2023-17, 2023-37 I.R.B. 798

2023-18, 2023-40 I.R.B. 972

2023-19, 2023-41 I.R.B. 1059

2023-20, 2023-45 I.R.B. 1221

Treasury Decisions:

9976, 2023-30 I.R.B. 354

9977, 2023-31 I.R.B. 375

9978, 2023-32 I.R.B. 415

9979, 2023-35 I.R.B. 602

9980, 2023-43 I.R.B. 1087

9981, 2023-44 I.R.B. 1174

9982, 2023-45 I.R.B. 1223

9983, 2023-46 I.R.B. 1237

Proposed Regulations:

REG-124123-22, 2023-30 I.R.B. 369

REG-124930-21, 2023-31 I.R.B. 431

REG-120730-21, 2023-33 I.R.B. 491

REG-134420-10, 2023-34 I.R.B. 571

REG-109348-22, 2023-35 I.R.B. 662

REG-120727-21, 2023-36 I.R.B. 670

REG-122793-19, 2023-38 I.R.B. 829

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2023–27 through 2023–52 is in Internal Revenue Bulletin

2023–52, dated December 27, 2023.

November 13, 2023

Bulletin No. 2023–46

Finding List of Current Actions on

Previously Published Items1

Bulletin 2023–46

A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2023–27 through 2023–52 is in Internal Revenue Bulletin

2023–52, dated December 27, 2023.

Bulletin No. 2023–46

iii

November 13, 2023

Internal Revenue Service

Washington, DC 20224

Official Business

Penalty for Private Use, $300

INTERNAL REVENUE BULLETIN

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