In Notice 2014-37, the IRS updated guidance previously provided in Notice 2014-19 concerning when qualified retirement plans must recognize same-sex marriages.
On June 26, 2013, the U.S. Supreme Court held in United States v. Windsor that section 3 of the Defense of Marriage Act is unconstitutional. As a result, the federal government must now recognize the marriages of same-sex couples. Because qualified retirement plans are subject to federal law, those plans must now also recognize same-sex marriages.
Notice 2014-37 specifically addresses midyear amendments to sections 401(k) and (m) safe harbor qualified plans. In general, a safe harbor plan must be adopted before the beginning of a plan year and be maintained throughout a full 12-month plan year. Notice 2014-37 provides that a plan will not fail to satisfy the requirements to be a section 401(k) or section 401(m) safe harbor plan merely because the plan sponsor adopts a midyear amendment to comply with the requirements of Notice 2014-19.
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