Ill STAT. 1068 PUBLIC LAW 105-34—AUG. 5, 1997 "In the case of a plan year beginning in: The minimum percentage is: 2005 86 percent 2006 87 percent 2007 88 percent 2008 89 percent 2009 and thereafter 90 percent. "(B) Sections 412(c)(7)(E)(i)(I) of such Code and 302(c)(7)(E)(i)(I) of such Act shall be applied— "(i) by substituting *85 percent' for *90 percent' for plan years beginning after 1996 and before 2005, and "(ii) by substituting the minimum percentage specified in the table contained in subparagraph (A)(ii) for
- 90 percent' for plan years beginning after 2004 and
before 2010. "(C) In the event the funded current liability percentage of a plan is less than 85 percent for any plan year beginning after 1996 and before 2005, the transition rules under subparagraphs (A) and (B) shall continue to apply to the plan if contributions for such a plan year are made to the plan in an amount equal to the lesser of— "(i) the amount necessary to result in a funded current liability percentage of 85 percent, or "(ii) the greater of— "(I) 2 percent of the plan's current liability as of the beginning of such plan year, or "(II) the amount necessary to result in a funded current liability percentage of 80 percent as of the end of such plan year. Applicability. For the plan year beginning in 2005 and for each of the 3 succeeding plan years, the transition rules under subparagraphs (A) and (B) shall continue to apply to the plan for such plan year only if contributions to the plan for such plan year equal at least the expected increase in current liability due to benefits accruing during such plan year.". 26 USC 412 note. (b) EFFECTIVE DATE. —The amendment made by this section shall apply to plan years beginning after December 31, 1996. 26 USC 402 note. SEC. 1509. CLARIFICATION OF DISQUALIFICATION RULES RELATING TO ACCEPTANCE OF ROLLOVER CONTRIBUTIONS. The Secretary of the Treasury or his delegate shall clarify that, under the Internal Revenue Service regulations protecting pension plans from disqualification by reason of the receipt of invalid rollover contributions under section 402(c) of the Internal Revenue Code of 1986, in order for the administrator of the plan receiving any such contribution to reasonably conclude that the contribution is a valid rollover contribution it is not necessary for the distributing plan to have a determination letter with respect to its status as a qualified plan under section 401 of such Code. SEC. 1510. NEW TECHNOLOGIES IN RETIREMENT PLANS. Regulations. (a) IN GENERAL.—Not later than December 31, 1998, the Sec- 26 USC 401 note, retary of the Treasury and the Secretary of Labor shall each issue guidance which is designed to— (1) interpret the notice, election, consent, disclosure, and time requirements (and related recordkeeping requirements)
�
