Both House Ways and Means Committee Chairman Dave Camp and President Obama have recently released proposed changes to certain pension and retirement plans in the Internal Revenue Code.
On February 26, 2014, Representative Camp released draft legislation referred to as the Tax Reform Act of 2014 that proposes to amend the Internal Revenue Code, including certain pension and retirement provisions. On March 4, 2014, President Obama released his Budget Proposals for 2015. The following is a summary of the proposed changes related to pension and retirement plans. We have also prepared summaries of other provisions relevant to other topical areas – please check our website for those. Although neither the Tax Reform Act of 2014 nor the Obama Proposal has been formally introduced as a bill, the prospects for passage are uncertain at this point, given the nature of the proposed reforms. We will monitor their progress and provide updates as warranted.