Filing for Determination Letter

[Guest Thornton]

I am filing Form 5307 for a volume submitter plan that provides that employees with more than 5 Years of Service as of December 31, 2005 are not eligible for matching contributions (don't ask!). Passing the ratio test is not a problem. There are not many employees involved and some of them are HCE's. Nevertheless, I believe that Schedule Q with Demo 3 should be filed.

1) Am I correct regarding Demo 3?

2) Where would I find instructions for Demo 3?

Thanks.

[WDIK]

2) Where would I find instructions for Demo 3?

The Schedule Q instructions are associated with Form 5300. Start on page 2 of these instructions for "Guidelines For Certain Demonstrations".

http://www.irs.gov/pub/irs-pdf/i5300q.pdf