Browse Arkansas Code titles and sections
24-7-733. Limitation on benefits.
Arkansas Code — all titles (historical 2020) · legal_authorities
24-7-733. Limitation on benefits.
(a)(1) Notwithstanding the provisions of this subchapter, benefits paid under the Arkansas Teacher Retirement System shall not exceed the limitations of the Internal Revenue Code, 26 U.S.C. 415, that are applicable to governmental retirement plans, including without limitation the dollar limitations in of the Internal Revenue Code, 26 U.S.C. 415(b)(1)(A).
(2) The annual benefits, as may be increased in subsequent years, that are paid to retirants by the system shall not violate the limitations under the Internal Revenue Code, 26 U.S.C. 415(b), applicable to the annuity effective date under the Internal Revenue Code, 26 U.S.C. 415(d), and benefits shall be paid in a manner that protects the tax-qualified status of the system.
(b) For purposes of determining compliance with the Internal Revenue Code, 26 U.S.C. 415, “compensation” is defined as set forth in United States Treasury Regulation, 26 C.F.R. § 1.415-2(d)(2), as it existed on January 1, 2009, and includes any amount that is not includible in the gross income of the member under the Internal Revenue Code, 26 U.S.C. 132(f)(4), as it existed on January 1, 2011.
Source: Arkansas Code — historical release 78 (November 6, 2020) · 24-7-733
Stored review status: Historical 2020-11-06 source release; later amendments not reconciled; machine-extracted, not independently legally reviewed; source heading status: text_in_historical_source. A text match is a research starting point; applicability is not established.
Issuing source page ↗
Authority boundary: historical statutory source snapshot not current law.
Open the recorded source website ↗
Record provenance
Stable record: arkansas_code:legal_authorities:24-7-733
Source file: gov.ar.code.title.24.odt
Pages: Not recorded – Not recorded
Passage SHA-256: 592a1dc2fba5a9b84578b84e0c2b0dfee3ffb3dada8d6afb255684b3b7a8dadd
Source location: content.xml paragraph 7459
Stored source content
24-7-733. Limitation on benefits.
(a)(1) Notwithstanding the provisions of this subchapter, benefits paid under the Arkansas Teacher Retirement System shall not exceed the limitations of the Internal Revenue Code, 26 U.S.C. 415, that are applicable to governmental retirement plans, including without limitation the dollar limitations in of the Internal Revenue Code, 26 U.S.C. 415(b)(1)(A).
(2) The annual benefits, as may be increased in subsequent years, that are paid to retirants by the system shall not violate the limitations under the Internal Revenue Code, 26 U.S.C. 415(b), applicable to the annuity effective date under the Internal Revenue Code, 26 U.S.C. 415(d), and benefits shall be paid in a manner that protects the tax-qualified status of the system.
(b) For purposes of determining compliance with the Internal Revenue Code, 26 U.S.C. 415, “compensation” is defined as set forth in United States Treasury Regulation, 26 C.F.R. § 1.415-2(d)(2), as it existed on January 1, 2009, and includes any amount that is not includible in the gross income of the member under the Internal Revenue Code, 26 U.S.C. 132(f)(4), as it existed on January 1, 2011.
Cross-references
Connections may be documented source relationships, shared citations or nearby passages. Each explains its basis; a connection alone does not establish applicability to your situation.
Federal law — U.S. Code and appendices · legal_authorities
**(a) Exclusion from gross income** Gross income shall not include any fringe benefit which qualifies as a—
(1) no-additional-cost service,
(2) qualified employee discount,
(3) working condition fringe,
(4) de minimis fringe,
(5) qualified transportation fringe,
(6) qualified moving expense reimbursement,
(7) qualified retirement planning services, or
(8) qualified military base realignment and closure fringe.
**(b) No-additional-cost service defined** For purposes of this section, the term “no-additional-cost service” means any service provided by an employer to an employee for use by such employee if—
(1) such service is offered for sale to customers in the ordinary course of the line of business of the employer in which the employee is performing services, and
(2) the employer incurs no substantial additional cost (including forgone revenue) in providing such service to the employee (determined without regard to any amount paid by the employee for such service).
**(c) Qualified employee discount defined** For purposes of this section—
(1) **Qualified employee discount** — The term “qualified employee discount” means any employee discount with respect to qualified property or services to the extent such discount does not exceed—
(A) in the case of property, the gross profit percentage of the price at which the property is being offered by the employer to customers, or
(B) in the case of services, 20 percent of the price at which the services are being offered by the employer to customers.
(2) **Gross profit percentage**
(A) *In general* — The term “gross profit percentage” means the percent which—
(i) the excess of the aggregate sales price of property sold by the employer to customers over the aggregate cost of such property to the employe
Source: Supplied U.S. Code snapshot — release unconfirmed · 26 U.S.C. § 132
Stored review status: release_metadata_unconfirmed. The source passage cites 26 U.S.C. § 132. This identifies an authority to review, not proof of applicability.
Federal law — U.S. Code and appendices · legal_authorities
Page 601
TITLE 26—INTERNAL REVENUE CODE
§ 132
gross income under subsection (a) to the ex-
tent such payments are made for more than—
(A) 10 qualified foster individuals who have
not attained age 19, and
(B) 5 qualified foster individuals not de-
scribed in subparagraph (A).
(Added Pub. L. 97–473, title I, § 102(a), Jan. 14,
1983, 96 Stat. 2606; amended Pub. L. 99–514, title
XVII, § 1707(a), Oct. 22, 1986, 100 Stat. 2781; Pub.
L. 107–147, title IV, § 404(a)–(c), Mar. 9, 2002, 116
Stat. 41.)
Editorial Notes
PRIOR PROVISIONS
A prior section 131 was renumbered section 140 of this
title.
AMENDMENTS
2002—Subsec. (b)(1). Pub. L. 107–147, § 404(a), amended
provisions preceding subpar. (B) generally. Prior to
amendment, text of such provisions read as follows:
‘‘The term ‘qualified foster care payment’ means any
amount—
‘‘(A) which is paid by a State or political subdivi-
sion thereof or by a placement agency which is de-
scribed in section 501(c)(3) and exempt from tax under
section 501(a), and’’.
Subsec. (b)(2)(B). Pub. L. 107–147, § 404(b), amended
subpar. (B) generally. Prior to amendment, subpar. (B)
read as follows: ‘‘in the case of an individual who has
not attained age 19, an organization which is licensed
by a State (or political subdivision thereof) as a place-
ment agency and which is described in section 501(c)(3)
and exempt from tax under section 501(a).’’
Subsec. (b)(3), (4). Pub. L. 107–147, § 404(c), added par.
(3) and redesignated former par. (3) as (4).
1986—Subsec. (a). Pub. L. 99–514 amended subsec. (a)
generally. Prior to amendment, subsec. (a) read as fol-
lows: ‘‘Gross income shall not include amounts received
by a foster parent during the taxable year as qualified
foster care payments.’’
Subsec. (b). Pub. L. 99–514 amended sub
Source: Supplied 2024 U.S. Code historical extraction · 26 U.S.C. § 132
Stored review status: historical_2024_not_currentness_verified. The source passage cites 26 U.S.C. § 132. This identifies an authority to review, not proof of applicability.
Federal law — U.S. Code and appendices · legal_authorities
**(a) General rule**
(1) **Trusts** — A trust which is a part of a pension, profitsharing, or stock bonus plan shall not constitute a qualified trust under section 401(a) if—
(A) in the case of a defined benefit plan, the plan provides for the payment of benefits with respect to a participant which exceed the limitation of subsection (b), or
(B) in the case of a defined contribution plan, contributions and other additions under the plan with respect to any participant for any taxable year exceed the limitation of subsection (c).
(2) **Section applies to certain annuities and accounts** — In the case of—
(A) an employee annuity plan described in section 403(a),
(B) an annuity contract described in section 403(b), or
(C) a simplified employee pension described in section 408(k),
such a contract, plan, or pension shall not be considered to be described in section 403(a), 403(b), or 408(k), as the case may be, unless it satisfies the requirements of subparagraph (A) or subparagraph (B) of paragraph (1), whichever is appropriate, and has not been disqualified under subsection (g). In the case of an annuity contract described in section 403(b), the preceding sentence shall apply only to the portion of the annuity contract which exceeds the limitation of subsection (b) or the limitation of subsection (c), whichever is appropriate.
**(b) Limitation for defined benefit plans**
(1) **In general** — Benefits with respect to a participant exceed the limitation of this subsection if, when expressed as an annual benefit (within the meaning of paragraph (2)), such annual benefit is greater than the lesser of—
(A) $160,000, or
(B) 100 percent of the participant’s average compensation for his high 3 years.
(2) **Annual benefit**
(A) *In general* — For purp
Source: Supplied U.S. Code snapshot — release unconfirmed · 26 U.S.C. § 415
Stored review status: release_metadata_unconfirmed. The source passage cites 26 U.S.C. § 415. This identifies an authority to review, not proof of applicability.
Federal law — U.S. Code and appendices · legal_authorities
Page 1426
TITLE 26—INTERNAL REVENUE CODE
§ 415
graph if such arrangement allows employees
to make permissible withdrawals (as defined
in section 414(w)(2)).
(3) Minimum contribution percentage
(A) In general
An eligible automatic contribution ar-
rangement meets the requirements of this
paragraph if—
(i) the uniform percentage of compensa-
tion contributed by the participant under
such arrangement during the first year of
participation is not less than 3 percent and
not more than 10 percent (unless the par-
ticipant specifically elects not to have
such contributions made or to have such
contributions made at a different percent-
age), and
(ii) effective for the first day of each
plan year starting after each completed
year of participation under such arrange-
ment such uniform percentage is increased
by 1 percentage point (to at least 10 per-
cent, but not more than 15 percent) unless
the participant specifically elects not to
have such contributions made or to have
such contributions made at a different per-
centage.
(B) Initial reduced ceiling for certain plans
In the case of any eligible automatic con-
tribution arrangement (other than an ar-
rangement that meets the requirements of
paragraph (12) or (13) of section 401(k)), for
plan years ending before January 1, 2025,
subparagraph (A)(ii) shall be applied by sub-
stituting ‘‘10 percent’’ for ‘‘15 percent’’.
(4) Investment requirements
An eligible automatic contribution arrange-
ment meets the requirements of this para-
graph if amounts contributed pursuant to such
arrangement, and for which no investment is
elected by the participant, are invested in ac-
cordance with the requirements of section
2550.404c-5 of title 29, Code of Federal Regula-
tions (or any successor regulations).
(c) E
Source: Supplied 2024 U.S. Code historical extraction · 26 U.S.C. § 415
Stored review status: historical_2024_not_currentness_verified. The source passage cites 26 U.S.C. § 415. This identifies an authority to review, not proof of applicability.