• IRS Issues Guidance on the Purchase and Valuation of Life Insurance Contracts
  • March 9, 2004
  • Law Firm: Sutherland Asbill & Brennan LLP - Washington Office
  • On February 13, 2004, the Internal Revenue Service issued guidance regarding the purchase of life insurance contracts by employers and qualified plans and the valuation of that insurance. While this guidance, which is immediately effective, was intended to shut down abusive transactions involving fully insured pension plans under Internal Revenue Code section 412(i), much of it will have effects beyond that context.