multiple employer plan filing

[MJ Hartman]

I am in the process of filing for a letter of determ. for a multiple employer plan. I am using a Corbel drafted prototype (their determ. letter, not mine). Is it mandatory that I file a 5300 when no changes were made to their language and the participating employers don't want their own letters of determ. on the plan? It appears that I have the availability of just filing a 5307 and thereby eliminating any filing fees or sched. attachments.

[Kirk Maldonado]

I don't think you can use a prototype document for a multiple employer plan.

[MJ Hartman]

I'm using corbel's document volume submitter (their document format when you fill out "their checklist" and they print out a plan & trust document w/ attachments). they've added multiple employer language to it, but also provided their volume submitter statement that would be used if I was filing under form 5307. a gentlemen has since called me from corbel and said they generate both 5300 and 5307 forms in their supplement package. He also wouldn't give me a straight answer about which form I could file. He said I could file a 5307 because it was a volume submitter doc. with no language changes, but I had to file a 5300 because it was a multiple employer document.

I did reread the 5307 filing instructions and it says that a multiple employer plan has to file a 5300; which seems like a real rip off to me because there is one section in Corbel's document that says the plan could be used by non- related multiple employers (which might be standard in their own computer generated plan in Jacksonville) so the client pays the IRS $700 for nothing special at all.

[jpod]

If it is not eligible for the 5307 is it eligible for the extended GUST reliance deadline (or was it subject to the last day of the 2001 plan year deadline)?

[Kirk Maldonado]

The Corbel document seems inconsistent with Section 8 of Revenue Procedure 2000-20.

[Archimage]

I do not believe you can use a prototype or volume submitter doc for a multiple employer plan. The nature of a multiple employer plan makes the document a custom document due to certain language that needs to be modified in the document such as the controlled group section. You will have to file for a determination letter for the plan. You cannot rely on the opinion letter for your prototype.

[mbozek]

See Reg. 1.413-2(a)(2): a master or prtotype plan is not a 413© (multiple employer plan) unless such plan is described in this paragraph (presumably a single plan maintained by more than 1 employer).