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Can restructuring for eligibility be done for ACP testing purposes or


John A

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Posted

Can restructuring for eligibility be done for ACP testing purposes or is it restricted to ADP testing?

Cites from formal or informal guidance would be appreciated.

Posted

Not sure exactly what you are asking.

by restructuring, do you mean

'statutory excludable'

and if yes, then you would carve out the group for both ADP and ACP.

Posted

Answering my own question: Yes under both pre-SBJPA and post-SPJBA: IRS Reg. 1.401(m)-1(B)(3)(ii) and IRS Code 401(m)(5)©.

Sorry for asking - the 401(k) Answer Book only lists the ADP test under restructuring.

Oh, and I did mean restructuring for statutory eligibiliy in this question, not any other types of restructuring.

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