Increased excise tax

[Trisports]

I am told that if the Plan is under audit, the IRS can impose an increased higher excise tax than the statutory 15%. Has anyone had this happened?

Thanks.

[Kevin C]

If you are referring to the prohibited transactions excise tax, I don't know.  However, if the IRS discovers a problem while the plan is under audit, that normally puts you under Audit CAP, which includes a negotiated sanction.  That would be separate from any excise tax that applies.