SECTION 15. OPENING OF

DETERMINATION LETTER PROGRAM FOR INITIAL REMEDIAL AMENDMENT CYCLE FOR INDIVIDUALLY DESIGNED PLANS

.01 This revenue procedure announces the opening, on February 1, 2006, of the determination letter program for the initial remedial amendment cycle ( i.e., EGTRRA remedial amendment period) for individually designed plans that fall in Cycle A. The Service will also accept determination letter applications for individually designed plans which would be considered to be filed off-cycle.

.02 Applications for determination letters for individually designed plans that are filed on or after February 1, 2006 will be reviewed taking into account the requirements of EGTRRA as well as other changes in qualification requirements and guidance identified on the applicable Cumulative List.

.03 In general, Form 6406, Short Form Application for Determination for Minor Amendment of Employee Benefit Plan, may not be used to apply for an initial remedial amendment cycle (that is, EGTRRA) determination letter and for all future determination letter application submissions in subsequent remedial amendment cycles.

.04 In general, individually designed plans must be restated when they are submitted for determination letter applications for the initial remedial amendment cycle (that is, EGTRRA remedial amendment period) and subsequent remedial amendment cycles. For this purpose, submission of a working copy of the plan in a restated format will suffice.

September 12, 2005 517 2005–37 I.R.B.

adopted and effective as of the last day of the six-year remedial amendment cycle immediately preceding the opening of the current six-year cycle (or, in the case of the initial six-year remedial amendment cycle, February 16, 2005 for defined contribution pre-approved plans or January 31, 2007 for defined benefit pre-approved plans.

.03 An employer is a new adopter if the employer switches from an individually designed plan before the end of the employer’s five-year remedial amendment cycle as determined under Part III of this revenue procedure by adopting either a pre-approved plan that was issued a valid opinion or advisory letter or an interim preapproved plan ( e.g., a new pre-approved plan that has yet to be issued an opinion or advisory letter).

.04 An employer is an intended adopter if the employer and the sponsor or practitioner who maintains the pre-approved plan execute Form 8905, Certification of Intent to Adopt Pre-approved Plan ⁴, before the end of the employer’s five-year remedial amendment cycle as determined under Part III of this revenue procedure. If the employer’s five-year remedial amendment cycle ends with or after the applicable six-year remedial amendment cycle, the employer must adopt the current preapproved plan rather than execute Form 8905. In this situation, the employer is not an intended adopter.

.05 An employer is an adopter of a replacement plan under the following circumstances:

(1) The employer timely adopted a preapproved plan that is to be replaced by a “replacement” plan (that is, the plan document remaining after one of the situations described in section 17.05(3));

(2) A sponsor or practitioner maintaining the pre-approved plan does not request an opinion or advisory letter during the current six-year approval/amendment cycle because the plan is to be replaced by the plan of another sponsor or practitioner as a result of a change in business circumstances described in section 17.05(3);

(3) The sponsor or practitioner of the replacement plan and the sponsor or practitioner of the replaced plan are related in one of the following ways: (a) one was