fiona1 Posted February 9, 2004 Posted February 9, 2004 Company A purchased another company and merged the plans effective 1/1/03. Do you look at what the individuals' comp was from the previous employer during 2002 to determine if they are HC or are they treated like a new hire?
E as in ERISA Posted February 10, 2004 Posted February 10, 2004 It depends on the form of the transaction and how it affects crediting of service.
Alf Posted February 10, 2004 Posted February 10, 2004 If the plan came over, does it really matter whether it was a stock or asset deal? My understanding of the informal IRS position is that the comp from the target counts if the plan comes over. I don't think there is any authoritative answer either way on this question, though.
E as in ERISA Posted February 10, 2004 Posted February 10, 2004 I think that its clearer in a stock deal than an asset deal.
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now