The Internal Revenue Service and the Treasury Department plan to amend the required minimum distribution regulations under Section 401(a)(9) of the tax code to address the use of lump sum payments to replace annuity payments being paid by a qualified defined benefit pension plan.

In Notice 2015-49, the IRS said Thursday the regulations, as amended, will provide that qualified defined benefit plans generally are not permitted to replace any joint and survivor, single life, or other annuity currently being paid with a lump sum payment or other accelerated form of distribution.

The Treasury Department and the IRS intend for the amendments to apply as of July 9, 2015, except with respect to certain accelerations of annuity payments described in the notice.

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