Skip to content
ChatProjectCodes

Table of Contents›Article 5. Qualified Automatic Contribution Arrangement (QACA)

Section 6. Special Rule for Distribution of Excess Contributions and Excess Aggregate

0325 Publ 6087 (PDF) · 2026-10-03 edition · updated 2026-10-04 · United States

Contributions

If the Employer has elected in the adoption agreement that all Plan participants are Covered Employees, then the Plan has until 6 months (rather than 2½ months) after the end of the Plan Year to distribute Excess Contributions and Excess Aggregate Contributions and avoid the 10% excise tax imposed by Code section 4979 of the Code 10% excise tax..

Sample Adoption Agreement Language:

Article [ ] Eligible Automatic Contribution Arrangement (EACA)

[ ] If checked, the Eligible Automatic Contribution Arrangement (EACA) provisions of Article ______ apply.

Get a plain-English answer with a citation back to this text.

Ask AI about this code
Export this section
▸Contents — 0325 Publ 6087 (PDF)
0325 Publ 6087 (PDF)

GoCodebook provides public access, search, citation, multilingual explanation, and practical interpretation of legally adopted building regulations. It is not a substitute for the official ICC or California code publications.