120 STAT. 1050
PUBLIC LAW 109–280—AUG. 17, 2006 ‘‘Years of service:
The nonforfeitable percentage is: 5 .............................................................................................. 80 6 or more ................................................................................ 100.’’.
(2) CONFORMING AMENDMENT.—Section 203(a) of such Act is amended by striking paragraph (4). (c) EFFECTIVE DATES.— (1) IN GENERAL.—Except as provided in paragraphs (2) and (4), the amendments made by this section shall apply to contributions for plan years beginning after December 31, 2006. (2) COLLECTIVE BARGAINING AGREEMENTS.—In the case of a plan maintained pursuant to one or more collective bargaining agreements between employee representatives and one or more employers ratified before the date of the enactment of this Act, the amendments made by this section shall not apply to contributions on behalf of employees covered by any such agreement for plan years beginning before the earlier of— (A) the later of— (i) the date on which the last of such collective bargaining agreements terminates (determined without regard to any extension thereof on or after such date of the enactment); or (ii) January 1, 2007; or (B) January 1, 2009. (3) SERVICE REQUIRED.—With respect to any plan, the amendments made by this section shall not apply to any employee before the date that such employee has 1 hour of service under such plan in any plan year to which the amendments made by this section apply. (4) SPECIAL RULE FOR STOCK OWNERSHIP PLANS.—Notwithstanding paragraph (1) or (2), in the case of an employee stock ownership plan (as defined in section 4975(e)(7) of the Internal Revenue Code of 1986) which had outstanding on September 26, 2005, a loan incurred for the purpose of acquiring qualifying employer securities (as defined in section 4975(e)(8) of such Code), the amendments made by this section shall not apply to any plan year beginning before the earlier of— (A) the date on which the loan is fully repaid, or (B) the date on which the loan was, as of September 26, 2005, scheduled to be fully repaid.
26 USC 411 note.
SEC. 905. DISTRIBUTIONS DURING WORKING RETIREMENT.
26 USC 401.
VerDate 14-DEC-2004
10:20 Jul 12, 2007
(a) AMENDMENT TO THE EMPLOYEE RETIREMENT INCOME SECURITY ACT OF 1974.—Subparagraph (A) of section 3(2) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 1002(2)) is amended by adding at the end the following new sentence: ‘‘A distribution from a plan, fund, or program shall not be treated as made in a form other than retirement income or as a distribution prior to termination of covered employment solely because such distribution is made to an employee who has attained age 62 and who is not separated from employment at the time of such distribution.’’. (b) AMENDMENT TO THE INTERNAL REVENUE CODE OF 1986.— Subsection (a) of section 401 of the Internal Revenue Code of 1986 (as amended by this Act) is amended by inserting after paragraph (35) the following new paragraph:
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