How does the additional 20% tax under Section 409A apply?

Section 409A imposes complex new requirements on nonqualified deferred compensation plans that must be satisfied to avoid immediate income inclusion. Nov 30, 2012 ... ... Section 409A ("Section 409A"). Specifically, December 31 is the deadline for correcting violations arising in connection with severance ... Section 409A allows participants to delay the distribution or change the form of the benefit of scheduled distributions as long as outlined rules are followed. Aug 9, 2007 ... This Insight discusses how Section 409A affects employment agreements, severance arrangements and settlement agreements. Dec 2, 2010 ... The IRS previously provided relief and guidance permitting the correction of certain operational and document failures under Section 409A of ... Sep 8, 2014 ... A violation of Section 409A results in immediate taxation to the executive of all vested rights under any covered compensation arrangement prior ... A reasonable valuation method is one that considers all available information that is material to the value of the company. Title: Application of Section 409A to Nonqualified Deferred Compensation Plans. Abstract: Proposed regulations that contain certain clarifications and ... Dec 7, 2015 ... Upon vesting, compensation deferred under a noncompliant plan or arrangement will become subject to regular federal income tax, a 20% excise tax ... Jun 6, 2017 ... The attached article briefly describes the applicable law and available guidance, illustrates the issue in an example, and provides two plausible analyses.