QSLOBs

[J. Bringhurst]

Client and client plans all operate on fiscal year basis (10/1 through 9/30).

Client sold a division of business 7/15/05 that had constituted one of three separate line of business (QSLOB) for which Form 5310-A had previously been filed. If client now wants to file another Form 5310-A to modify the prior filing to remove this particular QSLOB, would this filing be modifying the 2004 testing year or the 2005 testing year?

Testing year is defined as the calendar year.

The sale of the QSLOB obviously occurs during the 2004 testing year and during the plan year beginning 10/1/2004. However, for part of the 2004 testing year and the 2004 plan year, the prior election would still be valid (i.e., the QSLOB had not yet been sold).

Anyone encounter this issue?