12 2 STA T .509 5 PUBLIC LA W 110 –4 5 8—DE C.2 3, 2008 (i i )byad di ng a t t he end ofsu b p a r agraph ( E ) the fo l lo w ing new c lause
- ‘
‘(iii) PLANWITH ALT ER NATE V AL U ATI O N D ATE .—T he S ecretary of the Treasury shall prescribe regula - tions for the application of this paragraph in the case of a plan which has a v aluation date other than the first day of the plan year. ’ ’ , and (iii) by stri k ing ‘‘AND S HORT Y EARS’’ in the heading of subparagraph (E) and inserting ‘‘, SHORT YEARS, AND YEARS WITH ALTERNATE VALUATION DATE’’. ( H ) Section 30 3(k)( 6 )( B )ofE RI S A isa m ended by striking ‘‘, e x cept’’ and all that follows and inserting a period. ( 2 )A M ENDMENTS TO 1986C ODE.— (A) Section 4 30(b) of the 198 6 C ode is amended to read as follows: ‘‘(b) TAR G ET N ORMAL COST.— F or purposes of this section: ‘‘(1) IN GENERAL.—Except as provided in subsection (i)(2) with respect to plans in at-risk status, the term ‘target normal cost’ means, for any plan year, the excess of— ‘‘(A) the sum of— ‘‘(i) the present value of all benefits which are expected to accrue or to be earned under the plan during the plan year, plus ‘‘(ii) the amount of plan-related expenses expected to be paid from plan assets during the plan year, over ‘‘(B) the amount of mandatory employee contributions expected to be made during the plan year. ‘‘(2) S P ECIAL RULE F OR INCREASE IN COMPENSATION.—For purposes of this subsection, if any benefit attributable to serv- ices performed in a preceding plan year is increased by reason of any increase in compensation during the current plan year, the increase in such benefit shall be treated as having accrued during the current plan year.’’. (B) Section 430(c)( 5 )(B)(iii) of the 1986 Code is amended by inserting ‘‘beginning’’ before ‘‘after 2008’’. (C) Section 430(c)(5)(B)(iv)(II) of the 1986 Code is amended by inserting ‘‘for such year’’ after ‘‘beginning in 200 7 )’’. ( D ) Section 430(f) of the 1986 Code is amended— (i) by striking ‘‘as of the first day of the plan year’’ the second place it appears in the first sentence of paragraph (3)(A), (ii) by striking ‘‘paragraph (2)’’ in paragraph (4)(A) and inserting ‘‘paragraph (3)’’, (iii) by striking ‘‘paragraph (1), (2), or (4) of section 206(g)’’ in paragraph (6)(B)(iii) and inserting ‘‘sub- section (b), (c), or (e) of section 436’’, (iv) by striking ‘‘the sum of’’ in paragraph (6)(C), and (v) by striking ‘‘of the Treasury’’ in paragraph (8). (E) Section 430(h)(2) of the 1986 Code is amended— (i) by inserting ‘‘and target normal cost’’ after ‘‘funding target’’ in subparagraph (B), (ii) by striking ‘‘liabilities’’ and inserting ‘‘benefits’’ in subparagraph (B), 26USC430. 2 9 USC 1 0 8 3. Regulations .
�
