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A Better Partnership


Apr 2007
April 17, 2007

Finally!! Final Section 409A Deferred Compensation Regulations Are Here

After years of delay, on April 10, 2007, the IRS issued 397 pages of final regulations governing deferred compensation under Section 409A of the Internal Revenue Code. So what do you need to know?

  • Section 409A did not go away and the compliance deadline was not extended. Your deferred compensation plans must be operated in good faith compliance now, and all deferred compensation plans must be in documentary compliance no later than December 31, 2007.

  • Generally the final regulations are a relaxation of the proposed regulations, which is good news, but they are still complex and will require all deferred compensation plans to be reviewed and many to be amended.

  • If you haven't thought about Section 409A yet, you need to do so now.

  • If you have received a letter from us regarding this issue and have responded, thank you. We will continue to review plans and arrangements for clients who have requested that review.

  • If you have received a letter from us regarding this issue and have not responded, you still have time. Remember, we will not review any plans or arrangements unless specifically requested to do so.

  • Lastly, if you have not yet received a letter from us regarding this issue and would like to know more about it, please contact one of the following Warner Norcross & Judd LLP attorneys:


Anthony J. Kolenic, Jr.



Norbert F. Kugele



John H. McKendry, Jr.



Kimberley Mitchell



Vernon P. Saper



Justin W. Stemple



George L. Whitfield



Kathryn A. Wood




NOTICE. Although we would like to hear from you, we cannot represent you until we know that doing so will not create a conflict of interest. Also, we cannot treat unsolicited information as confidential. Accordingly, please do not send us any information about any matter that may involve you until you receive a written statement from us that we represent you.

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