Puerto Rico qualified retirement plans that granted eligible distributions and/or special loan benefits to participants who were victims of Hurricane Maria in conformity with Administrative Determination No. 17-29 of November 15, 2017 (as clarified by Administrative Determination No. 18-02 of January 17, 2018, and extended by Administrative Determination No. 18-13 of July 31, 2018), must be formally amended on or before December 31, 2018 to incorporate such Hurricane María tax relief provisions.
Although the amendment is not considered a ‘qualification amendment,’ and therefore, it does not have to be filed with the Puerto Rico Treasury Department for an updated determination letter, it must be timely adopted to ratify the tax relief benefits granted on such eligible distributions and loans.
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