[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 2267 Introduced in Senate (IS)]







105th CONGRESS
  2d Session
                                S. 2267

     To amend the Internal Revenue Code of 1986 to grant relief to 
participants in multiemployer plans from certain section 415 limits on 
                     defined benefit pension plans.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              July 7, 1998

 Mr. D'Amato (for himself and Mr. Murkowski) introduced the following 
  bill; which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
     To amend the Internal Revenue Code of 1986 to grant relief to 
participants in multiemployer plans from certain section 415 limits on 
                     defined benefit pension plans.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. TREATMENT OF MULTIEMPLOYER PLANS UNDER SECTION 415 LIMIT ON 
              DEFINED BENEFIT PENSION PLAN BENEFITS.

    (a) Dollar Limit Reduction.--Subparagraph (F) of section 415(b)(2) 
of the Internal Revenue Code of 1986 (relating to plans maintained by 
governments and tax-exempt organizations) is amended--
            (1) by striking ``and tax-exempt organizations'' in the 
        heading and inserting ``, tax-exempt organizations, and 
        multiemployer plans'', and
            (2) by inserting in the first sentence ``a multiemployer 
        plan (as defined in section 414(f)),'' after ``subtitle''.
    (b) Average Compensation Limit.--Paragraph (11) of section 415(b) 
of such Code (relating to a special limitation rule for governmental 
plans) is amended to read as follows:
            ``(11) Special limitation rule for governmental and 
        multiemployer plans.--In the case of a governmental plan (as 
        defined in section 414(d)) or a multiemployer plan (as defined 
        in section 414(f)), subparagraph (B) of paragraph (1) shall not 
        apply.''.
    (c) Combining and Aggregation of Plans.--
            (1) Combining of plans.--Subsection (f) of section 415 of 
        such Code (relating to combining of plans) is amended by adding 
        at the end the following:
            ``(3) Exception for multiemployer plan.--Notwithstanding 
        paragraph (1) and subsection (g), a multiemployer plan (as 
        defined in section 414(f)) shall not be combined or aggregated 
        with any other plan maintained by an employer for purposes of 
        applying the limitations established in this section.''.
            (2) Conforming amendment for aggregation of plans.--
        Subsection (g) of section 415 of such Code (relating to 
        aggregation of plans) is amended by striking ``The Secretary'' 
        and inserting ``Except as provided in subsection (f)(3), the 
        Secretary''.
    (d) Effective Date.--The amendments made by this section shall 
apply to plan years beginning after December 31, 1997.
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