LIMITATION ON CONTRIBUTIONS TO CERTAIN PENSION, ETC., PLANS.

SEC. 1502. LIMITATION ON CONTRIBUTIONS TO CERTAIN PENSION, ETC., PLANS. (a) In General.— (1) Limit on contributions.— Section 415(c) (relating to limitation for defined contribution plans) is amended by adding at the end thereof the following new paragraph: “(5) Application with section 404(e)(4).— In the case of a plan which provides contributions or benefits for employees some or all of whom are employees within the meaning of section 401 (c)(1), the amount determined under paragraph (1)(B) with respect to any participant shall not be less than the amount deductible under section 404(e) with respect to any individual who is an employee within the meaning of section 401(c)(1),” (2) Minimum deduction limitation.— Section 404(e)(4) of such Code (relating to minimum deductible amount for pension plan contributions by self-employed individuals) is amended by adding after subparagraph (B) the following: “This paragraph does not apply for any taxable year to any employee whose adjusted gross income for such taxable year (determined separately for each individual, without regard to any community property laws, and without regard to the deduction allowable under subsection (a)) exceeds $15,000.” 90 STAT. 1738 (b) Effective Date.— The amendment made by subsection (a)(1) shall apply to years beginning after December 31, 1975. The amendment made by subsection (a)(2) shall apply to taxable years beginning after December 31, 1975.