How much time is really allowed when you reach the 180 day extension. Can this be contested? We are about to go to arbitration regards to implementing a alternate schedule or if we lose the arbitration the possibility of implementing a default schedule that can be adversely implemented. We are in a collective agreement and we have a defined plan that is in the critical status, we also have a 13 year rehab plan that has been tenatively approved. We are being told that if we lose the arbitration that a lessor default schedule can be enforced even though another larger group has accepted a better offer. It is my understanding that a arbitrator has the power to implement a better plan or can force us to accept a lessor default schedule. Any input would be greatly appreciated.

PabloQ

I am usually pretty good with keeping up to date. On occassion, one slips by. The new Schedule C snuck up and bit me hard!

Client pays me $1,000. Money does NOT come from trust assets. This fee must now be reported on Schedule C?

Suppose that a client pays me $3,000 for services. In addition, for processing distributions I get $100 from trust assets. These both need to be reported on Schedule C? Am I right in concluding that getting any direct compensation requires that indirect compensation must be reported on Schedule C?

What is the criteria that determines what is reportable indirect compensation? Where can I find details about the reporting to the client about indirect compensation that exempts this compensation from Schedule C?

What about compensation that is already reported on Schedule A? Do I need to again report the broker's commisions on Schedule C?

Sorry about imbedding so many questions, but I really was caught napping on this one.

We are told that EFAST2 eliminated the SSA with the 5500, BUT the SSA must still be file if conditions are "right". Everywhere I look the instructions direct you to the IRS website for details. I find nothing. I can't even find where the form should be mailed. Since I have an amended 2007 Form to file, this issue has come front and center Am I looking in the wrong place, or is dementia finally setting in? Any direction would be appreciated!

A client of mine needs to have their FASB 158 accounting completed. Their auditor wants us to do a yield curve analysis to support the choice of a discount rate. Compare the sum of discounted values using yield curve versus sum of discounted values using one single discount rate, what is the percentage difference between the two sums where we may conclude the choice of discount rate is supported by the yield curve?

If you have a clear case of gross misconduct--embezzlement for which employee has been terminated and arrested--and are denying COBRA rights under group health plan, any reason the gross misconduct exception would not also apply to bar COBRA continuaton under Health FSA where the employee has a positive balance under the plan? Seems in either case a termination due to gross misconduct is not technically a COBRA "qualifying event" so there would be no right to continued coverage and the Health FSA balance would be forfeited to the extent the individual had not incurred reimbursable medical expenses prior to termination.

A partner of a Company that sponsors a 401(k) Plan would like to make elective deferrals into the Plan.

Where on a Schedule K-1 do I find the partners Net Earnings from Self Imployment?

What about the Guaranteed Payments on the K-1. Can this be used towards calculating Net Earnings from Self Imployment?

Any help would be greatly appeciated.

I think I should have posted this here:

I recently submitted a claim for benefits on behalf of my client. The claim is for waiving a DB Plan's recoupment efforts. The Plan assets are held in trust by Bank. Legal counsel for Bank wants me to direct all communication to him, and when I submitted a claim to waive recoupment, the Plan Administrator did not respond. The Bank's lawyer responded, referencing my claim as a letter, and didn't address its points at all. What should I do...write to Plan requesting decision from them? The Plan Doc and SPD specifically state there is a benefits committee that responds to disputes and claims.

Was a DC rollover account in a DB plan subject to a Mininum Distribution for 2009? If not, was some type of amendment required?

OK, so as I understand it, we really do have to complete the "Paid preparer" part of the 945. I personally have a PTIN, for this specific reason. So...

they ask for my signature and my PTIN, and my firm's (a corporation - it says "Firms's name (or yours, if self-employed)" - I'm not self-employed) and EIN. But they don't ask for my name, so I'm not giving it to them (except on the third-party designee line, which is a different issue). Does that make sense (that the form should have my signature but not my name)?

Is it correct that they want an *individual* to sign and be linked to a PTIN (or SSN)? For my small company, it all boils down to me anyway, but is Joe Smith who works for Bisys or whomever using his own PTIN? Somehow that doesn't make sense to me, and I get really hung up on things that don't make sense. I relied on someone else's guidance on this a long time ago and now I'm questioning it.

thx

Does anyone have any experience with freezing a 401(a) plan and the steps involved? The plan in question has several compliance problems and the current TPA has not not been fully their obligations and has contributed to some of the operational plan issues.

I recently submitted a claim for benefits on behalf of my claim. The claim is for waiving the Plan's recoupment efforts. The Plan assets are held in trust by Bank. Legal counsel for Bank wants me to direct all communication to him, and when I submitted a claim to waive recoupment, the Plan Administrator did not respond. The Bank's lawyer responded, referencing my claim as a letter, and didn't address its points at all. What should I do...write to Plan requesting decision from them? The Plan Doc and SPD specifically state there is a benefits committee that responds to disputes and claims.

Can a participant specify that a withdrawal come only from their Roth 401(k) or must the withdrawal come out pro rata from both their Roth account and their pre-tax account?

If a participant's account holds assets that are worthless, are the assets formally distributed when the participant is eligible for distribution or is some other disposition or treatment preferable? If assets are distributed, is Form 1099-R issued showing a zero value?

In defining the classification groups for our cross-tested plans, our document calls for group #1: "An allocation up to the maximum permissible amount under IRC §415". All other groups call for a pro-rata allocation among the individuals in each group.

If there is more than 1 individual in group #1, would you interpret the allocation language to mean that you can basically give the individuals in group#1 any arbitrary amount? For example, we give the 415 max to one individual, $15,000 to a second individual, and $0 to the third individual. Granted, it all has to pass 410(b)/401(a)(4), but if it does, would this sound right to you? FWIW, Group #1 is always used just for HCEs.

Thanks

What is the current turnaround time for an IRS Letter of Determination upon plan termination (Form 5310)?

How do you determine net actuarial loss/(gain) in the amounts recognized in accumulated other comprehensive income.

Can the full yield curve with October 2008 segment rates be used for a 2/1/2009 beg of year valuation? I think this is available for plan years beginning in 2009 correct? In this plan there would not be any material change issues.

Thanks.

Can an ERISA 403(b) plan use EPCRS to correct written plan defects that occured prior to 01/01/09? In this case, the plan improperly made loans to participants in 2004 when such loans were not permitted under the plan's ERISA written plan document. Will the IRS approve a retroactive plan amendment to correct this defect under EPCRS?

Notice 2010-6 requires in the "tell on yourself" disclosures, to report the "amount involved in each document failure", the amount reported as income, and the percentage of the "amount involved" that has to be reported.

Do you think "amount involved" means "amount deferred?" I searched the Proposed Regs under 409A-4 for the term "amount involved" and it doesn't exist. Nor does 2010-6 define "amount involved." This whole disclosure thing is so ridicuous - when there is no amount required to be included in income. Is the "amount involved" per participant? or in the aggregate?

Thanks for any thoughts.

CW

A calendar year plan sponsor failed to provide data until after October 1, 2009 so the AFTAP is presumed under 60%, so all restrictions apply.

The sponsor only has one plan, the DB plan.

As far as I know, no amendments to increase benefits are allowed even if a contribution is made.

When the actual data was provided, shortly after October 1, the AFTAP was found to be over 80% (and the sponsor is not in bankruptcy).

However, an amendment is needed under 1.401(a)(4)-11(g) in order to pass testing for the year.

Is a retroactive corrective amendment under 1.401(a)(4)-11(g) allowed? If not, (because of the restrictions caused by the AFTAP being presumed under 60%), can the plan be corrected for the failed nondiscrimination test?