Randy Watson Posted August 15, 2006 Share Posted August 15, 2006 The Transition Rule under 410(b)(6)© gives a free pass on coverage testing for the Transition Period. Does that mean you still have to pass ADP/ACP testing during that period based on employer wide data? Link to comment Share on other sites More sharing options...
jpod Posted August 15, 2006 Share Posted August 15, 2006 Do we not perform ADP/ACP testing based solely on those employees who are eligible to participate in the plan being tested? If you agree, please elaborate or re-state your question. Link to comment Share on other sites More sharing options...
Randy Watson Posted August 15, 2006 Author Share Posted August 15, 2006 I believe that is the case as long as you pass 410(b). Does the Transition Rule mean that you don't have to satisfy 410(b) or does it mean that you are deemed to satisfy 410(b)? Link to comment Share on other sites More sharing options...
jpod Posted August 15, 2006 Share Posted August 15, 2006 If you satisfy the conditions for the transition rule, you test for 410(b) coverage as if the transaction never occurred (until the end of the transition period). Link to comment Share on other sites More sharing options...
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