catch up and corrections

[Guest honey grahams]

401(k) plan fails ADP in 2003 and no corrective action was taken in 2004. Am now in 2005 and thinking of doing 1 to 1 correction under EPCRS.

One of the HCEs is eligible for catch up and can recharacterize some of his ADP return as catch up.

Question: Can I still re-characterize the ADP failure as catch-up for the HCE even though I am past correction period?

If question 1 is true, can I exclude the $2000 (adp failure recharacterized as catch-up) in calculating the 1-1 return AND the QNEC (with gains/losses up to correction date)?

Or, just wait for the new EPCRS for now?

[WDIK]

An excerpt from 1.414(v)-1(a)(1) states:

"With respect to an applicable employer plan, catch-up contributions are elective deferrals made by a catch-up eligible participant that exceed any of the applicable limits set forth in paragraph (b) of this section and that are treated under the applicable employer plan as catch-up contributions..."

The ADP limit is one of the applicable limits. If your plan document treats them as such, it seems to me that the determination is made irrespective of the "correction period."