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We submitted a determination letter request for a defined benefit plan with a normal retirement age of considerably less than 62. The IRS is asking for statistical data to verify the NRA of less than 62 is acceptable for the industry standard. The plan is a one person plan for a professional athlete with endorsement deals. Can anyone point me to what kind of information and sources of information the IRS is willing to accept? Are there other threads that have already covered this question?

Have a pending Cycle E2 determination letter application for an individually-designed plan. I am in the middle of the Employee Plans Specialist's review and there will likely be a Closing Agreement matter relating to a missing interim amendment for a prototype plan that was merged into the plan a few years ago. The sponsor knew of same, and it was noted in the cover letter. Nonetheless, there will be some sort of sanction to fix, and I am OK with that. A few days ago, the sponsor indicated that it had not adopted a discretionary amendment to the individually-designed plan that added a Roth feature to the plan in mid-2016. The Roth feature has been implemented, but no adopted amendment to date. I could fix this via a separate VCP filing and pay the VCP fee, because, per the determination letter rules, the plan is not "under examination" re this item. But, would it be possible to save a buck or two and voluntarily raise this new issue with the Specialist and deal with it with the pending other nonamender failure . . . with the hope that the sanction will be baked into same, say the VCP fee of $10,000 or so as the CAP sanction. Or, should I just wait a few weeks, get the determination letter/closing agreement, and then file a VCP application to fix the new issue? Thanks.

Say that an ERISA attorney has a plan sponsor adopt a volume submitter plan that has just enough modifications to it to support a determination letter request (intentionally), but not enough to render it an individually designed plan. Then, some time after receiving the letter, there is an an amendment, but not to the modified content. Is the plan sponsor eligible to apply for a new determination letter? We are seeing lots of imaginative ways to get around the usual restrictions on getting a determination letter on a pre-approved plan or an amendment to an individually designed plan.

For an employee stock ownership plan (with employer securities that never traded and never will), the employer has stated the plan as an individually-designed plan. The employer is a Cycle A employer. In 2011, it applied for the IRS’s determination, which the IRS furnished in 2014. The 2014 determination states it was based on the 2010 Cumulative List. As I read the 2015 Cumulative List, I see nothing that would call for adding, deleting, or changing any provision of this plan. Likewise, as I think about recent years’ changes in tax law, I can’t think of any that necessitates a change in this plan’s text. Notice 2016–03 states: “Rev. Proc. 2007–44 will be modified to provide that expiration dates included in determination letters issued prior to January 4, 2016, are no longer operative. Future guidance will clarify the extent to which an employer may rely on a determination letter after a subsequent change in law or plan amendment.” I am wondering whether it now makes sense to apply for a determination. If (i) the determination the plan already holds does not expire, (ii) there has been no tax-law change that matters to this plan, and (iii) there has been no amendment of the plan since the most recent determination, what value (if any) could be obtained by seeking a determination now? For whatever expense one might incur to obtain another determination, what value is provided? (I’m not presuming a conclusion; I really want to know what BenefitsLink mavens think.)

Just wondering - when submitting form 5300 for Cycle E, are you submitting new IRS reference lists that are encouraged but optional? They don't seem particularly useful - most of the items seem to be N/A, either not applying to the DB plan I am submitting or not requiring an amendment at all for anyone.

Suppose a new individually drafted defined benefit plan was established mid-2013 with a January 1, 2013 plan effective date. Suppose the plan was signed and executed and the plan document was submitted to the IRS with Form 5300 last summer. No contributions made yet, but liabilities for 2013 have accrued. Now suppose the client calls today and says business has turned so bad that they aren't sure they will even be in business a few months from now and they don't see any possibility for making any plan contributions. Also suppose the DB document says something like "...if, pursuant to an application for qualification, the IRS should determine that the Plan does not initially qualify as a tax-exempt plan under Code Sections 401..., then if the Plan is a new plan, it shall be void from its inception..." Since the IRS is still in the review process for this plan's determination letter application, would the IRS accept and even consider a request to them asking that they issue an unfavorable letter on this supposed plan? Has anyone done this? What do you recommend?