Simplified Pension Plan Act

Simplified Pension Plan Act - Amends the Internal Revenue Code to permit employers to establish pension plans for their employees which are funded exclusively by individual retirement accounts (IRA's). Exempts such plans from the minimum funding standards applicable to other tax-exempt pension plans.

Limits employer contributions to such pension plans to 15 percent of an employee's gross income for the taxable year or $7,500, whichever is less.

Disallows tax deductions for employee contributions to an individual retirement account in a taxable year in which such employee participates in a pension plan established by this Act.