SECTION 14. ABANDONMENT OF

SPONSORSHIP OF § 403(b) PLANS

.01 A prototype sponsor must notify EP Rulings and Agreements in writing of an approved § 403(b) prototype plan that is no longer used by any eligible employer and which the prototype sponsor no longer intends to offer for adoption. Such written notification should be sent to the address in section 12.03 and should refer to the file folder number appearing on the latest opinion letter issued.

.02 A prototype sponsor that intends to abandon an approved § 403(b) prototype plan that is in use by any adopting eligible employer must inform each adopting eligible employer that the form of the plan has been terminated, that the eligible employer’s plan will become an individually designed plan (unless the eligible employer adopts another approved § 403(b) prototype plan), and that any employer reliance will not continue if there is a change in § 403(b), the regulations, revenue rulings, or other guidance published by the Service. After so informing all adopting

Internal Revenue Service P.O. Box 2508 Cincinnati, OH 45201 Attn: § 403(b) Prototype Coordinator Room 5106

A request shipped by Express Mail or a delivery service should be sent to:

Internal Revenue Service 550 Main Street P.O. Box 2508 Cincinnati, OH 45202 Attn: § 403(b) Prototype Coordinator Room 5106

.04 In the case of an initial submission of a mass submitter’s basic plan document under this revenue procedure, the mass submitter’s application(s) must also be accompanied by applications for opinion letters filed on behalf of at least 30 word-forword identical adopters, unless the mass submitter has already satisfied this requirement in connection with a previous application under this revenue procedure involving another basic plan document. After satisfying the 30 word-for-word identical adopter requirement, the mass submitter may submit additional applications on behalf of other prototype sponsors that wish to adopt a word-for-word identical plan. In addition, the mass submitter may then submit requests for opinion letters for its other § 403(b) prototype plans regardless of the number of identical adopters of such other plans.

.05 Sample plan language to be used in drafting § 403(b) prototype plans is available from Employee Plans Rulings and Agreements. Such language is not automatically required in § 403(b) prototype plans, but should be used as a guide in drafting such plans. To expedite the review of their plans, prototype sponsors are encouraged to use the Service’s sample plan language and to identify where such language is being used in their plan documents. The sample plan language may be downloaded from the Internet at the following address: (http://www.irs.gov/pub/irs- tege/draft_lrm_403b_prototypes.pdf) .

.06 The Service may determine the extent of review of a § 403(b) prototype plan based on the application. A failure to disclose a material fact or misrepresentation of a material fact in the application may ad

versely affect the reliance that would otherwise be obtained through issuance by the Service of a favorable opinion letter. Similarly, failure to accurately provide any of the information called for on any form required by this revenue procedure may result in no reliance.

.07 The Service may, at its discretion, require any additional information that it deems necessary in connection with its review of a § 403(b) prototype plan. If a letter requesting changes to plan documents is sent to the prototype sponsor or an authorized representative, the changes must be received no later than 30 days from the date of the letter, and the response must include either a copy of the plan with the changes highlighted or, if the changes are not extensive, replacement pages. If the changes are not received within 30 days, the application may be considered withdrawn. An extension of the 30-day time limit will only be granted for good cause.

.08 The Service will return, without further action, plans that are not in substantial compliance with the approval requirements or plans that are so deficient that they cannot be reviewed in a reasonable amount of time. A plan may be considered not to be in substantial compliance if, for example, it omits an applicable Code section or merely incorporates by reference an applicable Code section. The Service will not consider these plans until after they are revised, and they will be treated as new requests as of the date they are resubmitted. No additional user fee will be charged if an inadequate submission is amended to be in substantial compliance and is resubmitted to the Service within 30 days following the date the prototype sponsor is notified of such inadequacy.

.09 If the plan document submitted as part of an opinion letter request contains a provision that gives rise to an issue for which contrary published authorities exist, failure to disclose and address significant contrary authorities may result in requests for additional information, which will delay action on the request.

.10 An opinion letter issued to a prototype sponsor is not transferable to any other entity. For this purpose, a change of employer identification number is deemed to be a change of entity.

.11 A change in a prototype sponsor’s name only is not deemed to be a change of entity. However, the prototype spon

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(2) The eligible employer timely amends the plan to the extent necessary to correct any form defects retroactive to the first day of the plan’s remedial amendment period and timely submits the plan to the Service for a determination letter. (An eligible employer that timely submits its plan for a determination letter is not required, but may nevertheless choose, to amend the plan retroactive to January 1, 2009. However, for purposes of Notice 2009–3 and whether the Service will treat the eligible employer’s § 403(b) plan as satisfying the requirements of § 403(b) and the 2007 regulations during the 2009 calendar year, only the plan that was adopted and in effect on December 31, 2009, will be taken into account.) Future guidance regarding the determination letter program for § 403(b) plans will specify the date by which a § 403(b) plan must be amended and submitted to the Service to be considered timely amended and submitted for purposes of this section, but this date will not be earlier than March 15, 2010. Any amendments required by the Service as a result of its review of a timely submitted determination letter application for a § 403(b) plan will be considered timely adopted if they are adopted by the 91 ^st

day following issuance of a determination letter.

.04 For purposes of this section 16, a “written plan intended to satisfy the requirements of § 403(b) and the 2007 regulations” includes both a new plan that is intended to satisfy those requirements and an existing plan that has been amended with the intent of satisfying those requirements, including a plan that is based on the model plan language in Rev. Proc. 2007–71 and a plan that is an adoption of a § 403(b) prototype plan that has been timely submitted for an opinion letter under this revenue procedure.