I 
116TH CONGRESS 
2D SESSION 
H. R. 8567 
To amend the Internal Revenue Code of 1986 to increase to 75 the required 
beginning date age for mandatory retirement distributions and to exempt 
from such distribution rules individuals with lower account balances. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 9, 2020 
Mrs. MURPHY of Florida (for herself and Mr. ESTES) introduced the following 
bill; which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to increase 
to 75 the required beginning date age for mandatory 
retirement distributions and to exempt from such dis-
tribution rules individuals with lower account balances. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Required Minimum 
Distribution Modernization Act of 2020’’. 
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SEC. 2. INCREASE IN AGE FOR REQUIRED BEGINNING DATE 
FOR MANDATORY DISTRIBUTIONS. 
(a) IN GENERAL.—Section 401(a)(9)(C)(i)(I) of the 
Internal Revenue Code of 1986 is amended by striking 
‘‘age 72’’ and inserting ‘‘age 75’’. 
(b) SPOUSE BENEFICIARIES; SPECIAL RULE
FOR 
OWNERS.—Subparagraphs (B)(iv)(I) and (C)(ii)(I) of sec-
tion 401(a)(9) of such Code are each amended by striking 
‘‘age 72’’ and inserting ‘‘age 75’’. 
(c) CONFORMING AMENDMENTS.—The last sentence 
of section 408(b) of such Code is amended by striking 
‘‘age 72’’ and inserting ‘‘age 75’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to distributions required to be 
made after December 31, 2020, with respect to individuals 
who attain age 72 after such date. 
SEC. 3. EXEMPTION FROM REQUIRED MINIMUM DISTRIBU-
TION RULES FOR INDIVIDUALS WITH CER-
TAIN ACCOUNT BALANCES. 
(a) IN GENERAL.—Section 401(a)(9) of the Internal 
Revenue Code of 1986 is amended by adding at the end 
the following new subparagraph: 
‘‘(J) EXCEPTION
FROM
REQUIRED
MIN-
IMUM
DISTRIBUTIONS
DURING
LIFE
OF
EM-
PLOYEE
WHERE
ASSETS
DO
NOT
EXCEED 
$100,000.— 
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‘‘(i) IN GENERAL.—If, as of a meas-
urement date, the aggregate value of an 
employee’s entire interest under all defined 
contribution 
plans 
does 
not 
exceed 
$100,000, then, during any succeeding cal-
endar year beginning before the next meas-
urement date, the requirements of sub-
paragraph (A) shall not apply with respect 
to such employee. 
‘‘(ii) 
DEFINED
CONTRIBUTION 
PLAN.—For purposes of this subpara-
graph, the term ‘defined contribution plan’ 
has the same meaning as when used in 
subparagraph (H). 
‘‘(iii) LIMIT ON REQUIRED MINIMUM 
DISTRIBUTION.—The required minimum 
distribution determined under subpara-
graph (A) for an employee under all de-
fined contribution plans shall not exceed 
an amount equal to the excess of— 
‘‘(I) the aggregate value of an 
employee’s entire interest under such 
plans on the last day of the calendar 
year to which such distribution re-
lates, over 
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‘‘(II) the dollar amount in effect 
under clause (i) for such calendar 
year. 
The Secretary in regulations or other guid-
ance may provide how such amount shall 
be distributed in the case of an individual 
with more than one defined contribution 
plan. 
‘‘(iv) 
MEASUREMENT
DATE.—For 
purposes of this subparagraph, the term 
‘measurement date’ means, with respect to 
any employee— 
‘‘(I) the last day of the calendar 
year preceding the calendar year in 
which the employee attains age 75, 
and 
‘‘(II) in the case of any employee 
who (after a measurement date deter-
mined under subclause (I) with re-
spect to such employee) receives con-
tributions, rollovers, or transfers of 
amounts that were not previously 
taken into account in applying this 
subparagraph, the last day of the cal-
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endar year in which such contribution, 
rollover, or transfer was so received. 
‘‘(v) INFLATION
ADJUSTMENT.—In 
the case of any calendar year beginning 
after 2020, the $100,000 amount in clause 
(i) shall be increased by an amount equal 
to— 
‘‘(I) such dollar amount, multi-
plied by 
‘‘(II) the cost of living adjust-
ment determined under section 1(f)(3) 
for the calendar year, determined by 
substituting ‘calendar year 2019’ for 
‘calendar year 2016’ in subparagraph 
(A)(ii) thereof. 
Any increase determined under this clause 
shall be rounded to the next lowest mul-
tiple of $5,000. 
‘‘(vi) PLAN
ADMINISTRATOR
RELI-
ANCE
ON
EMPLOYEE
CERTIFICATION.—A 
defined contribution plan described in 
clause (iii), (iv), (v), or (vi) of section 
402(c)(8)(B) shall not be treated as failing 
to meet the requirements of this paragraph 
in the case of any failure to make a re-
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quired minimum distribution for a cal-
endar year if— 
‘‘(I) the aggregate value of an 
employee’s entire interest under all 
defined contribution plans of the em-
ployer on the last day of the calendar 
year to which such distribution relates 
does not exceed the dollar amount in 
effect for such year under clause (i), 
and 
‘‘(II) the employee certifies that 
the aggregate value of the employee’s 
entire interest under all defined con-
tribution plans on the most recent 
measurement date with respect to the 
employee (as determined by the em-
ployee based on guidance provided by 
the Secretary) did not exceed the dol-
lar amount in effect for such year 
under clause (i). 
‘‘(vii) AGGREGATION RULE.—All em-
ployers treated as a single employer under 
subsection (b), (c), (m), or (o) of section 
414 shall be treated as a single employer 
for purposes of clause (v).’’. 
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(b) PLAN
ADMINISTRATOR
REPORTING.—Section 
6047 of such Code is amended by redesignating subsection 
(h) as subsection (i) and by inserting after subsection (g) 
the following new subsection: 
‘‘(h) ACCOUNT BALANCE FOR PARTICIPANTS WHO 
HAVE ATTAINED AGE 74.— 
‘‘(1) IN GENERAL.—Not later than January 31 
of each year, the plan administrator (as defined in 
section 414(g)) of each defined contribution plan (as 
defined in section 401(a)(9)(J)) shall make a return 
to the Secretary with respect to each participant of 
such plan who has attained age 74 as of the end of 
the preceding calendar year which states— 
‘‘(A) the name and plan number of the 
plan, 
‘‘(B) the name and address of the plan ad-
ministrator, 
‘‘(C) the name, address, and taxpayer 
identification number of the participant, and 
‘‘(D) the account balance of such partici-
pant as of the end of the preceding calendar 
year. 
‘‘(2) STATEMENT
FURNISHED
TO
PARTICI-
PANT.—Every person required to make a return 
under paragraph (1) with respect to a participant 
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shall furnish a copy of such return to such partici-
pant. 
‘‘(3) APPLICATION TO INDIVIDUAL RETIREMENT 
PLANS AND ANNUITIES.—In the case of an defined 
contribution plan described in clause (i) or (ii) of 
section 402(c)(8)(B)— 
‘‘(A) any reference in this subsection to 
the plan administrator shall be treated as a ref-
erence to the trustee or issuer, as the case may 
be, and 
‘‘(B) any reference in this subsection to 
the participant shall be treated as a reference 
to the individual for whom such account or an-
nuity is maintained.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to distributions required to be 
made in calendar years beginning more than 120 days 
after the date of the enactment of this Act. 
Æ 
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