How do payment triggers linked to company performance comply with Section 409A?

Aug 7, 2013 ... The primary requirement of section 409A is that the nonqualified deferred compensation plan specify the time and form of payment. Under section ... Apr 5, 2011 ... Section 409A - IRS Extends Transition Relief for Nonqualified Deferred Compensation Plans · Overview of Transition Rules · What Employers Should ... May 13, 2015 ... IRS Chief Counsel Memorandum Clarifies that Correction of Section 409A Failures in Year of Vesting Will Not Shield Income Inclusion Under 409A. Jan 9, 2020 ... Section 409A imposes a 20% additional tax penalty on the employee's deferred income, as well as interest. Section 409A applies whenever there is a “deferral of compensation,” which occurs when an employee has a legally binding right during a taxable year to ... Apr 13, 2007 ... ... Section 409A of the Internal Revenue Code. Section 409A was enacted as part of the American Jobs Creation Act in October 2004 and applies to ... Title: Application of Section 409A to Nonqualified Deferred Compensation Plans. Abstract: Proposed regulations that contain certain clarifications and ... May 24, 2013 ... Rabbi Trusts May Need Amendment to Avoid Code Section 409A Trap ... Companies maintaining so-called “rabbi trusts” to fund deferred compensation ... Mar 7, 2022 ... However, the section 409A regulations on the valuation of nonpublic stock address only the setting of the exercise price of a nonqualified stock. Mar 12, 2025 ... Section 409A imposes restrictions on the timing and form of deferral elections, the timing of distributions/payments and the use of certain ...