Is there any guidance on how 436 benefit restrictions interact with a terminating plan?

If the AFTAP is <60%, but the owner has the majority of the benefits and is willing to waive receipt of any benefit not able to be funded by the plan assets, can the lump sums be paid out?

http://benefitslink.com/boards/index.php?showtopic=43088

The last post in the thread may be useful.

Can you really take out a loan from the plan to make a contribution? I'll admit that I am totally ignorant on this technique, but for some reason, it just doesn't sound right. Just my jumbled thought...

Assuming the plan allows participant loans, you can do so.
In effect you are transferring a business risk into a personal risk. If the loan is not repaid, the participant has a taxable event, but the business is not responsible for the loss. Instead, the benefit is reduced.

That does make sense.

Just in time...Final Regs...only 319 pages!

Heres the link to the federal register:

http://www.federalregister.gov/OFRUpload/O...09-24284_PI.pdf