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ARTICLE · 04 JUNE 2018

409A Guidance On Nonqualified Deferred Compensation Plans For Beginners

Fenwick
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Section 409A penalizes certain compensation structures where a service provider receives a right to payment of compensation in a later taxable year.

United StatesEmployment and HR
Marshall Mort
Marshall Mort
Ariel Gaknoki
Ariel Gaknoki
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In this practical guide, Fenwick attorneys Marshall Mort and Ariel Gaknoki provide a primer on Section 409A of the U.S. tax code and some of the recent legislative developments stemming from U.S. tax reform. Section 409A penalizes certain compensation structures where a service provider receives a right to payment of compensation in a later taxable year.

Previously given at a Clear Law Institute webinar, this presentation covers ways to structure plans to be exempt from and to comply with Section 409A so no additional taxes ​apply, describes the potential penalties for non-compliance, and identifies how 2017 tax reform changes the landscape for deferred compensation to employees and new opportunities to optimize tax strategy.

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