109 HR 5424 IH: To allow certain existing retirement plans maintained by U.S. House of Representatives 2006-05-18 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I 109th CONGRESS 2d Session H. R. 5424 IN THE HOUSE OF REPRESENTATIVES May 18, 2006 Mr. Souder (for himself and Mr. Pitts) introduced the following bill; which was referred to the Committee on Ways and Means A BILL To allow certain existing retirement plans maintained by churches to continue to provide annuities directly to participants rather than through an insurance company.

1.

Grandfather rule for church plans which self-annuitize

(a)

In general

In the case of any plan year ending after April 17, 2002, annuity payments provided with respect to any account maintained for a participant or beneficiary under a qualified church plan shall not fail to satisfy the requirements of section 401(a)(9) of the Internal Revenue Code of 1986 merely because the payments are not made under an annuity contract purchased from an insurance company if such payments would not fail such requirements if provided with respect to a retirement income account described in section 403(b)(9) of such Code. (b)

Qualified church plan

For purposes of this section, the term qualified church plan means any money purchase pension plan described in section 401(a) of such Code which— (1)is a church plan (as defined in section 414(e) of such Code) with respect to which the election provided by section 410(d) of such Code has not been made, and (2)was in existence on April 17, 2002.