Code 3D - Pre-Approved plan

[Richard Anderson]

Would you use the code for pre-approved plan in either (or both) of the following cases:

1. Plan has adopted a Volume Submitter document, but has special language that makes it not

a word for word adoption. The special language is not extensive, if that makes a difference.

The plan will not be submitted for a determination letter.

2. Same as above, but the plan has been submitted and has received a determination letter.

[My 2 cents]

If it was based on a volume submitter plan, with additional modifications that were documented and the plan was submitted as a volume submitter and the IRS provided a favorable letter without requiring them to refile as an individually designed plan, then it is a volume submitter plan and ought to be indicated as a pre-approved plan. Some modifications are acceptable without the plan losing volume submitter status.

Don't know what the situation would be if there was no determination letter filing. If the sponsor thinks they have a volume submitter plan then they probably ought to so indicate on the 5500 filing.

[Bird]

Good question. Our vendor has a special area for adding special provisions that are supposedly not "modifications" - not interested in debating the validity of that here as I understand they could be "modifications" and they are always minor and I am comfortable with them - so we feel they are still "volume submitter" plans and therefore "pre-approved" plans, whether we get a DL or not.

[BG5150]

Has anyone ever been taken to task for an incorrect or missing feature code on the 5500? What are the ramifications?