Defined Benefit Plan Changes
These changes strengthen funding of defined benefit plans.
Permits a defined benefit plan to use a valuation date up to one year prior to the beginnning of the plan year. This is not available to under funded-plans.
Phases out the current liability limit by 2004.
Allows full funding up to the unfunded termination liability for a plan that terminates within the plan year.
Generally eliminates the 10% excise tax on nondeductible contributions for any contributions to a defined benefit plan up to the full funding limit.