Missed Cycle A deadline

[Guest Livia]

A client uses a single plan document for two employers in different controlled groups. At first, we thought that we could file this as a multiple employer plan in Cycle B. However, we realized that because there is a separate trust for each group, it is not a multiple employer plan. Unfortunately, this left us with two separate plans, one of which should have been filed in Cycle A. The other one is in Cycle D. Has there been any guidance or gossip on filing late?

[Guest Jon G.]

I have a client in a similar situation. I think it needs to be filed under the VCP program for nonamenders. I believe the penalty amount is $375.00. If you have heard anything to the contrary, please let me know. Thanks.

[Guest Livia]

Good news. There appears to be relief under Section 21.03 of Rev. Proc. 2007-44 if you made a "reasonable and good faith interpretation" that you were not a Cycle A plan. Looks like we have until December 9, 2007 to file.