[Federal Register Volume 72, Number 35 (Thursday, February 22, 2007)]
[Rules and Regulations]
[Page 7929]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-2958]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 54

[TD 9298]
RIN 1545-AY32


Nondiscrimination and Wellness Programs in Health Coverage in the 
Group Market; Correction

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Correcting amendments.

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SUMMARY: This document contains correction to final regulations (TD 
9298) that were published in the Federal Register on Wednesday, 
December 13, 2006 (71 FR 75014) governing the provisions prohibiting 
discrimination based on a health factor for group health plans and 
issuers of health insurance coverage offered in connection with a group 
health plan.

DATES: The correction is effective February 12, 2007.

FOR FURTHER INFORMATION CONTACT: Russ Weinheimer, (202) 622-6080 (not a 
toll-free number).

SUPPLEMENTARY INFORMATION:

Background

    The correction notice that is the subject of this document is under 
section 9802 of the Internal Revenue Code.

Need for Correction

    As published, final regulations (TD 9298) contain errors that may 
prove to be misleading and are in need of clarification.

List of Subjects in 26 CFR Part 54

    Excise taxes, Health care, Health insurance, Pensions, Reporting 
and recordkeeping requirements.

Correction of Publication

0
Accordingly, 26 CFR part 54 is corrected by making the following 
correcting amendments:

PART 54--PENSION EXCISE TAXES

0
Paragraph 1. The authority citation for part 54 continues to read, in 
part, as follows:

    Authority: 26 U.S.C. 7805 * * *


0
Par. 2. Section 54.9802-1(b)(2)(i)(D) is amended by revising paragraph 
(ii) of Example 4.

0
Par. 3. Section 54.9802-1(f)(1) is amended by revising the first 
sentence of the paragraph.
    The revisions read as follows:


Sec.  54.9802-1  Prohibiting discrimination against participants and 
beneficiaries based on a health factor.

* * * * *
    (b) * * *
    (2) * * *
    (i) * * *
    (D) * * *
    Example 4. * * *
    (i) * * *
    (ii) Conclusion. In this Example 4, the limit does not violate this 
paragraph (b)(2)(i) because $2,000 of benefits for the treatment of TMJ 
are available uniformly to all similarly situated individuals and a 
plan may limit benefits covered in relation to a specific disease or 
condition if the limit applies uniformly to all similarly situated 
individuals and is not directed at individual participants or 
beneficiaries. (This example does not address whether the plan 
provision is permissible under the Americans with Disabilities Act or 
any other applicable law.)
* * * * *
    (f) * * *
    (1) If none of the conditions for obtaining a reward under a 
wellness program are based on an individual satisfying a standard that 
is related to a health factor (or if a wellness program does not 
provide a reward), the wellness program does not violate this section, 
if participation in the program is made available to all similarly 
situated individuals. * * *
* * * * *

LaNita Van Dyke,
Chief, Publications and Regulations Branch, Legal Processing Division, 
Associate Chief Counsel, (Procedure and Administration).
 [FR Doc. E7-2958 Filed 2-21-07; 8:45 am]
BILLING CODE 4830-01-P