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Posted 25 May 2010 - 06:21 PM
Posted 26 May 2010 - 08:25 AM
I'm guessing that "we ALWAYS use the method that benefits the testing" isn't considered ok even though it reasonable (it's an easy distinction), nondiscriminatory (it doesn't discriminate against HCE's) and consistent (it's always done).
...so long as such rules are reasonable, nondiscriminatory, and uniformly and consistently applied. 1.414(q)-1T, A-3(b)
QKA, QPA, ERPA
Two wrongs don't make a right, but three rights make a left.
Posted 26 May 2010 - 09:37 AM
Is Q&A T14 relevant to your question?
Posted 26 May 2010 - 11:05 AM
From the midde of A14 is this, "If 10% of the number of employees is not an integer, the maximum number of individuals to be treated as key employees by reason of being officers shall be increased to the next integer."
OK, I'll bite. I don't see how.
Is it reasonable to interpret this as the IRS's opinion that you should round up?
Posted 26 May 2010 - 01:31 PM
Posted 26 May 2010 - 02:00 PM
Good try, BG. High marks for creativity.
NOTE: This post is intended for informational purposes only, and may not be relied on for any other purpose. (After all, I'm a Sieve, and the information in this post may be full of holes.)