Thursday, April 29, 2010
IRS begins Section 409A audits?
According to a release by Jones Day (http://www.jonesday.com/newsknowledge/publicationdetail.aspx?publication=6738), the IRS has sent Information Document Requests (IDRs) to companies that fall under Section 409A. The 409A section, as we all know, was enacted in 2004 (signed into law as part of the American Jobs Creation Act of 2004 and became effective Jan. 1, 2005) but took effect for most private companies beginning 2007. It appears that in 2010, the IRS will scrutinize this section more, despite some CFO organizations calling it the worst tax and citing plenty of confusions with the code.