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Can anyone help me understand Notice 2011-86 and §7528(b)(2)? I don't want the client to have to pay the $2,500 user fee if it isn't necessary. I am trying to prepare a Cash Balance plan determination letter request. It is a Cycle C filer that is due Jan 1, 2014. There was previously an issue that caused the plan to do a VCP submission and off-cycle DL filing two years ago, which did result in a favorable DL. The plan was first in existance 1/1/2003. Most things seem to reference a 5 year period for the fee exemption, but Part III provides "the Service will treat an application as having been filed by the last day of the remedial amendment period with respect tot he plan beginning within the first five plan years if both the following conditions are met: (1) the application is filed with the Service by the last day of the submission period for the plan's current remediate amendment cycle, and (2) the plan is first in existence no earlier than January 1 of the tenth calendar year immediately preceding the year in which the submission period for the plan's current remedial amendment cycle begins." Since the plan was effective 1/1/2003, and that the cycle ends 1/31/2014, it seems to be that the exemption applies, and no user fee is due. Is there something I'm missing? I can't seem to find anything that indicates it has to be the initial DL submission for a plan. Does the fact that this plan has had previous DLs affect the fee exemption? Thoughts?