Leaderboard

Belgarath, you’re right that stating a plan provision in a way that doesn’t follow an adoption-agreement form’s instructions loses reliance on the IRS’s preapproval. Revenue Procedure 2017-41, 2017-29 I.R.B. (July 17, 2017) at its § 6.03(17) states: “Opinion letters will not be issued for . . . Plans that include blanks or fill-in provisions for the employer to complete, unless the provisions have parameters that preclude the employer from completing the provisions in a manner that could violate the [tax-]qualification requirements[.]” No comment about whether an allocation fits the preapproved document you mention.

Just to be clear (i) this individual bought 100% of an operating business with his IRA, (ii) he is not involved at all in managing the business, (iii) the IRA's value is "well" over $100 million, (iv) the relevant facts are unknown, and (v) advice on a PT that could disqualify the entire IRA is being solicited on an anonymous message board? I would strongly suggest a different approach.