PUBLIC LAW 107-16—JUNE 7, 2001 115 STAT. 137 may provide, and shall give consideration to providing, special relief with respect to the use of low-cost individual retirement plans for purposes of transfers under section 401(a)(31)(B) of the Internal Revenue Code of 1986 and for other uses that promote the preservation of assets for retirement income purposes, (d) EFFECTIVE DATE. —The amendments made by this section Applicability. shall apply to distributions made after final regulations imple- 26 USC 401 note. menting subsection (c)(2)(A) are prescribed. SEC. 658. CLARIFICATION OF TREATMENT OF CONTRIBUTIONS TO 26 USC 404 note. MULTIEMPLOYER PLAN. (a) NOT CONSIDERED METHOD OF ACCOUNTING.—For purposes of section 446 of the Internal Revenue Code of 1986, a determination under section 404(a)(6) of such Code regarding the taxable year with respect to which a contribution to a multiemployer pension plan is deemed made shall not be treated as a method of accounting of the taxpayer. No deduction shall be allowed for any taxable year for any contribution to a multiemployer pension plan with respect to which a deduction was previously allowed. (b) REGULATIONS. — The Secretary of the Treasury shall promulgate such regulations as necessary to clarify that a taxpayer shall not be allowed an aggregate amount of deductions for contributions to a multiemployer pension plan which exceeds the amount of such contributions made or deemed made under section 404(a)(6) of the InternaJ Revenue Code of 1986 to such plan. (c) EFFECTIVE DATE.—Subsection (a), and any regulations promulgated under subsection (b), shall be effective for years ending after the date of the enactment of this Act. PART II—TREATMENT OF PLAN AMENDMENTS REDUCING FUTURE BENEFIT ACCRUALS SEC. 659. EXCISE TAX ON FAILURE TO PROVIDE NOTICE BY DEFINED BENEFIT PLANS SIGNIFICANTLY REDUCING FUTURE BENEFIT ACCRUALS. (a) AMENDMENT OF INTERNAL REVENUE CODE. — (1) IN GENERAL. —Chapter 43 (relating to qualified pension, etc., plans) is amended by adding at the end the following new section: "SEC. 4980F. FAILURE OF APPLICABLE PLANS REDUCING BENEFIT ACCRUALS TO SATISFY NOTICE REQUIREMENTS. "(a) IMPOSITION OF TAX.— There is hereby imposed a tax on the fsdlure of any applicable pension plan to meet the requirements of subsection (e) with respect to any applicable individual. "(b) AMOUNT OF TAX. — "(1) IN GENERAL. —The eunount of the tax imposed by subsection (a) on any failure with respect to any applicable individual shall be $100 for each day in the noncompliance period with respect to such failure. "(2) NONCOMPLIANCE PERIOD. —For purposes of this section, the term 'noncompliance period' means, with respect to any failure, the period beginning on the date the failure first occurs and ending on the date the notice to which the failure relates is provided or the failure is otherwise corrected. "(c) LIMITATIONS ON AMOUNT OF TAX. —
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