To amend the Internal Revenue Code of 1986 to clarify the treatment of certain retirement plan contributions picked up by governmental employers.

Bill: 116-hr-3213
Sponsor: full_name: Rep. Roe, David P. [R-TN-1]
Introduced: 2019-06-11
Policy area: Taxation
Subjects: Employee benefits and pensions

Government employee pay, benefits, personnel management

Income tax deferral
Latest action: action_date: 2019-06-11
text: Referred to the House Committee on Ways and Means.

Summaries:
action_date: 2019-06-11
action_desc: Introduced in House
text: <p>This bill amends the Internal Revenue Code to&nbsp;permit the treatment of&nbsp;certain employer contributions made&nbsp;to public retirement plans as picked up by a governmental employing unit regardless of whether the participating employee is allowed to make an irrevocable election between the application&nbsp;of two alternative benefit formulas involving the same or different levels of employee contributions.</p>

tv_txt: I 116th CONGRESS 1st Session H. R. 3213 IN THE HOUSE OF REPRESENTATIVES June 11, 2019 Mr. David P. Roe of Tennessee (for himself, Mr. Burchett , Mr. Fleischmann , Mr. DesJarlais , Mr. Green of Tennessee , Mr. Kustoff of Tennessee , and Mr. John W. Rose of Tennessee ) 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 clarify the treatment of certain retirement plan contributions picked up by governmental employers.

1. Clarification of treatment of certain retirement plan contributions picked up by governmental employers (a) In general Section 414(h)(2) of the Internal Revenue Code of 1986 is amended— (1) by striking For purposes of paragraph (1) and inserting the following: (A) In general For purposes of paragraph (1) , and (2) by adding at the end the following new subparagraph: (B) Treatment of elections between alternative benefit formulas (i) In general For purposes of subparagraph (A), a contribution shall not fail to be treated as picked up by an employing unit merely because the employee may make an irrevocable election between the application of two alternative benefit formulas involving the same or different levels of employee contributions. (ii) Application to existing employees Clause (i) shall be applied without regard to whether the employee is already covered by one of the benefit formulas referred to therein. . (b) Effective date The amendment made by this section shall apply to years ending after the date of the enactment of this Act.