IRS Issues Announcement 2011-82 Outlining Changes to the Employee Plans Determination Letter Program | Practical Law
On December 16, 2011, the IRS issued Announcement 2011-82, outlining changes to the determination letter application program. The changes eliminate elective demonstrations regarding coverage and nondiscrimination requirements and provide that only employers who have made limited changes to their pre-approved volume submitter (VS) plans may file Form 5307. The changes, which take effect in 2012, aim to improve IRS efficiency and will likely result in many employers no longer applying for determination letters.