Brian Cox
Mar 13 2000, 08:08 PM
Are loans permitted in Section 457 Government Deferred Compensation Plans? If so, please provide written information to prove to plan administrator>
Thank you,
E. Brian Cox
Carol V. Calhoun
Mar 13 2000, 09:12 PM
No, 457 plans cannot make loans to participants. In recent private letter rulings, the IRS has been requiring 457 plans to assert that they do not permit such loans.
See, e.g., Private Letter Ruling 199932045 (August 16, 1999).
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