On September 1, 2021, the IRS issued Revenue Procedure 2021-38 (“2021-38”). This guidance addresses the deadline for qualified plan sponsors to adopt interim amendments. Under 2021-38, an interim amendment made to a pre-approved qualified plan is adopted timely if the amendment is adopted by the end of the second calendar year after the calendar year in which the change in qualification requirements is effective with respect to the plan. Thus, the interim amendment deadline is no longer determined with reference to an employer’s tax-filing deadline.
2021-38 applies to disqualifying plan provisions that are effective with respect to a plan after December 31, 2020. Also note that this deadline change is consistent with the deadline for adopting interim amendments for 403(b) pre-approved plans, as noted above regarding 2021-37.