Exceptions to Form 990

[Guest Beneflaw]

I have read through many of the othe other posts. My understanding is that generally, A VEBA will have to file Form 990, in addition to Form 5500.

My confusion lies with respect to the flow-through rules mentioned-if the revenues and expenses flow through the corporate entity sponsoring the VEBA, isn't it sufficient to report on the corporate 990, as opposed to a separate 990 for the VEBA's trust?

[401 Chaos]

Beneflaw,

I may be off base but my general understanding is that the VEBA trust is a tax-exempt entity separate from the plan / plan sponsor and so would have it's own tax reporting and disclosure requirements even if it supports a plan sponsored by a tax-exempt entity that files it's own Form 990.

[vebaguru]

Chaos is correct. The only "flow-through" for a VEBA would be excess amounts under IRC 419 which are imputed as income to the sponsoring employer (in the case of a non-collectively-bargained plan.