Section 409A: Top Ten Compliance Pitfalls

Resource type: Article

Status: Law stated as at 14-Jun-2012

Jurisdiction: USA

Section 409A and its interpreting regulations impose complex requirements on nonqualified deferred compensation arrangements. Avoiding potentially disastrous Section 409A tax consequences depends on accurate understanding and implementation of the rules. Employers should have procedures in place to identify and address compliance risks. This article highlights ten compliance issues that are frequently encountered in practice.

Regina Olshan, Skadden, Arps, Slate, Meagher & Flom LLP, Daniel L. Hogans, Morgan, Lewis & Bockius LLP and Kristin M. Davis, Skadden, Arps, Slate, Meagher & Flom LLP

The full text of this resource is available by logging in or by requesting a trial. If you have any questions, please contact us or your PLC Account Executive.

Free trial

A free trial will give you:

✔	Unlimited access to our online legal know-how services during the trial period
✔	Full training and support
✔	Six issues of Practical Law The Journal, the companion to Practical Law online
✔	Weekly update e-mails on current legal developments in your practice area

Law school access click here

Login

Subscribers and trialists can login below

Contact Us

If you need assistance logging in or have any questions about our services, please contact us.

Actions

Resource information

Show resource details Hide resource details

Resource ID: 7-519-7644
Law stated date: 14-Jun-2012
Products: PLC US Employee Benefits & Executive Compensation, PLC US Law Department

Contact the team

Related content

Related content

Topics

Executive CompensationExecutive Compensation (http://uslf.practicallaw.com/6-503-9117)

Practice Note: Overview

Internal Revenue Code Section 409A Toolkit Internal Revenue Code Section 409A Toolkit (http://uslf.practicallaw.com/topic1-500-6652)
Section 409A: Deferred Compensation Tax Rules: Overview Section 409A: Deferred Compensation Tax Rules: Overview (http://uslf.practicallaw.com/topic6-501-2009)

Practice Notes

Applying Section 409A to Severance Benefits Applying Section 409A to Severance Benefits (http://uslf.practicallaw.com/topic6-501-2702)
Specified Employees under Section 409A Specified Employees under Section 409A (http://uslf.practicallaw.com/topic7-501-1330)

Standard Documents

Model Policy for Determining Specified Employees under Section 409A Model Policy for Determining Specified Employees under Section 409A (http://uslf.practicallaw.com/topic9-501-3823)
Payments to Specified Employees under Section 409A: Explanatory Memorandum for Directors/Compensation Committee Payments to Specified Employees under Section 409A: Explanatory Memorandum for Directors/Compensation Committee (http://uslf.practicallaw.com/topic5-501-2364)

Standard Clause

Model Section 409A Employment Agreement Provisions Model Section 409A Employment Agreement Provisions (http://uslf.practicallaw.com/topic7-503-0263)

Checklists

Deferral Election Deadlines under Section 409A Chart Deferral Election Deadlines under Section 409A Chart (http://uslf.practicallaw.com/topic1-502-9253)
Equity Pitfalls under Section 409A Checklist Equity Pitfalls under Section 409A Checklist (http://uslf.practicallaw.com/topic3-502-9252)
Section 409A Six-month Delay, Short-term Deferral and Separation Pay Plan Analysis Flowcharts Section 409A Six-month Delay, Short-term Deferral and Separation Pay Plan Analysis Flowcharts (http://uslf.practicallaw.com/topic3-501-9168)

Article

Webinar: Section 409A: Expert Advice on Avoiding Common Pitfalls Webinar: Section 409A: Expert Advice on Avoiding Common Pitfalls (http://uslf.practicallaw.com/topic5-519-9012)

{ "siteName" : "PLC", "objType" : "PLC_Doc_C", "objID" : "1247638286699", "objName" : "Section 409A Top Ten Compliance Pitfalls", "userID" : "2", "objUrl" : "http://uslf.practicallaw.com/cs/Satellite/7-519-7644?source=relatedcontent", "pageType" : "", "contentAccessed" : "false", "analyticsPermCookie" : "2-5a73ff32:13ed6878075:6775", "analyticsSessionCookie" : "2-5a73ff32:13ed6878075:6776", "statisticSensorPath" : "http://analytics.practicallaw.com/sensor/statistic" }