PUBLIC LAW 99-514—OCT. 22, 1986
100 STAT. 2859
ing agreement and that post-retirement medical benefits or life insurance benefits were the subject of good faith bargaining between such employee representatives and such employer or employers. "(2) LIMITATION ON AMOUNT OF LIFE INSURANCE BENEFITS.—
Life insurance benefits shall not be taken into account under subsection (c)(2) to the extent the aggregate amount of such benefits to be provided with respect to the employee exceeds $50,000." (B) Subsection (e) of section 419A of the Internal Revenue Code of 1954 (as amended by subparagraph (A)) shall not apply to any group-term life insurance to the extent that the amendments made by section 223(a) of the Tax Reform Act of 1984 do not apply to such insurance by reason of paragraph (2) of section 223(d) of such Act. (4) TREATMENT OF COLLECTIVELY BARGAINED PLANS.—Para-
graph (5) of section 419A(f) (relating to higher limit in case of collectively bargained plans) is amended by striking out "welfare benefit fund established under" and inserting in lieu thereof "welfare benefit fund maintained pursuant to". (5)
CLARIFICATION
OF ACTUARIAL
CERTIFICATION
REQUIRE-
MENT.—Subparagraph (A) of section 419A(c)(5) (relating to special limitation where no actuarial certification) is amended by striking out "under paragraph (1)" and inserting in lieu thereof "under this subsection". (6) AGGREGATION RULES.—
(A) Paragraph (1) of section 419A(h) (relating to aggregation rules) is amended to read as follows: "(1) AGGREGATION OF FUNDS.— "(A) MANDATORY AGGREGATION.—For purposes of subsec-
tions (c)(4), (d)(2), and (e)(2), all welfare benefit funds of an employer shall be treated as 1 fund. "(B) PERMISSIVE AGGREGATION FOR PURPOSES NOT SPECIFIED IN SUBPARAGRAPH (A).—For purposes of this section
(other than the provisions specified in subparagraph (A)), at the election of the employer, 2 or more welfare benefit funds of such employer may (to the extent not inconsistent with the purposes of this subpart and section 512) be treated as 1 fund." (B) Subsection (b) of section 419A is amended by striking out "this subpart" and inserting in lieu thereof "this subpart and section 512". (7) CLARIFICATION OF ADJUSTMENTS FOR EXISTING RESERVES.—
Paragraph (7) of section 419A(f) (relating to adjustments for existing excess reserves) is amended by striking out subparagraph (C) and inserting in lieu thereof the following new subparagraphs: "(C) EXISTING EXCESS RESERVE.—For purposes of computing the increase under subparagraph (A) for any taxable year, the term 'existing excess reserve' means the excess (if any) of^ "(i) the amount of assets set aside at the close of the first taxable year ending after July 18, 1984, for purposes described in subsection (a), over "(ii) the account limit determined under this section (without regard to this paragraph) for the taxable year for which such increase is being computed.
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