ombskid

IRS sends request for information CP-403 saying they have not received info from EBSA on plan 002 for 2008. Sponsor only has plan 001. In checking, we find EBSA says they do not have plan 001 for 2008. How do we now respond to IRS? They recently returned a 5500 of another client sent in response to a similar letter and said we had to file electronically. And how do we deal with EBSA with proof of mailing - clearly we don't want to used DFVC since we have proof of mailing. And they haven't asked for anything.

An accountant says new regs require health premiums paid by/for sch c filers must now be on the sch c, where before they were deducted on the 1040. The result is lowering comp for any retirement plan purposes. Anybody heard anything about this?

I was thinking that for some purposes terminated employees were not considered "covered"... i.e. a plan only covers eligible employees

Plan has 4 former participants (no longer employed) and one owner at 12/31/2008. The former participants are paid out in early 2009, leaving only the owner. For 2009 does this plan qualify as a " One participant Plan" and allowed to file 5500 EZ for 2009? If so, and it has less than $250 k in assets is it exempt from filing the EZ?

I assume you mean the plan year is from 12/31/2008 to 12/30/2009. In this case it is filed on paper since this is for the 2008 plan year. Yes - it's so unusual it's hard tp type. Thanks

Plan year is 12/31/2008 to 12/31/2009. It gets filed on a 2008 form. Does it get filed on paper or electronic

Plan is sponsored by US company owned by a foreign company. French citizen that has been working at US company and participating in the 401k is leaving the US company and returning to France to work for the "mother" company. I believe there are no issues with making a distribution. What are the tax/rollover issues for a foreign citizen (French) to take a rollover? Is there a treaty that determines when the distribution is taxed or if there is a special provision for foreigners?

Employer has had db plan since 2003. Employee met eligibility and was active in db plan in 2003 and 2004. Left. Employer adds PS plan in 2006 with 1 yr eligibility. Employee is rehired April 2008 I believe employee is immediately eligible in the db plan. What about the new ps plan?

IRS sent a CP-403 for 2007 5500 for 2 plans of the employer. We have a USPS mail label showing the return filed timely, but no signed original. If we send a newly signed file copy with evidence of timely filing, what happens if DOL later asks for return. Have we made any additional trouble? If IRS accepts it as a timely filing, is that enough?

I recently reviewed a 2008 ADP test that had the low paid spouse of the 100% owner as a NHCE. I thought all 5% owners were HCE's. Isn't the spouse an owner via 318 attribution? Spouse had 401k deferrals of around 90% so the adp test was significantly impacted

New comparability plan with one owner and one NHCE. The only rate group passes for the profit sharing contribution, does that mean there is no avg benefits test required (that would include 401(k) contributions)?

Are targteted qec's - limited I think to 5% of pay to nhce's - still allowed as a form of bottom up qnec?

Plan has art as a significant asset. It has been appraised regularly. Owner passed away and spouse wants to buy the art then take the distribution and roll it over. Is there any way this can be done without it being a PT?

If someone is still working past NRD and the plan terminates, what is the benefit commencement date? Actual retirement date is an unknown future event.

DB plan is terminating in a standard termination. PBGC timeframes, unless there is a Notice of non compliance, are pretty straight forward, albeit strict. Does anyone have a sense of how long 5310 LOD's upon termination are taking? Is there any reason the plan could not submit both the NOIT to participants and NTIP simultaneously?

That is what I intended to say - if someone is still employed past NRA can the plan termination date be used as the actual retirement date for calculation purposes. I will go through the document again to see if it addresses the situation. Thanks

A plan is being terminated. Several participants are still employed past NRA. Can the termination date be used as retirement date in calculating benefits and lump sums?

An accountant asks if he must include accrued interest - shown on the IRA statement - in calculating a Required Minimum Distribution. Any ideas?

Can 401(k) be added to a profit sharing plan this late in a calender year plan?

When a DB (not cash balance) plan terminates, who gets 100 vested due to the termination: Actives with less than 100% vesting Terminated participants - who have not been paid out - with less than 100% Does anyone that has been paid out or deemed paid out because of terminating with 0% vesting get "vested up" at plan termination?

I notice that the approval says "and should be kept with your records" - not "should be attached to the filing". Still what a huge waste.

Thanks

2 clients received "Application for Extension of Time to File an Employee Plan Return - Approved" from IRS in Ogden UT. I've never seeen this before. Is this new this year?

But if the $$ goes directly to the participant who overpaid - (through payroll deduction)?