Family Codes and Section 318 Attribution

[Guest JF]

I am having trouble understanding the use of the family codes in the sttaus screen of the census secton. Example: Father and Son in a business. If a father owns 100% of the stock ,we enter the 100% ownership, and then use a family code of 0101, his wife is also 0101, and the son who owns no stock is coded as 0% ownership but with a family code of 0102. When running the ADP test, the son does not show up as a HCE but seems to be that he should based on on the Section 318. Since Dad has effective contrl, the age of the son is irrelevant. Second, if DAD owned only 25%, and son owned 0%, would the family code test the age of the son to see if he is a HCE by Section 318 ? Thanks for the help

[Guest]

the family codes were for use with the OLD aggregation rules not attribution.

whatever % dad owns, you must code son as owning.

yes, it would be nice (hint hint hint) if system would use the family codes for attribution but it doesn't.

add a line (if it is not there) to the census verification that 'stock ownership may be due to attribution purposes'.

while not a great practice, you can simply enter census, code the ee as an HCE, and wouldn't have to rerun eligibility. Don't forget to code ee as key for top heavy purposes either.