Profit Sharing Contribution - election cash or deferred

[Chippy]

The company puts 50% of the profit sharing contribution into the plan.   The other 50% the participant may take in cash or defer into the profit sharing plan.  Is the 50% that is deposited into the plan tested as a regular profit sharing contribution and would the additional amount that the participant elects puts into the plan treated as a pre-tax deferral?    If it is a pre-tax deferral, what year would it be applied to the limits?  The year it is for (2016) or the year it is deposited (2017)?   

[MoJo]

If it is subject to the participant's Cash Or Deferred Arrangement election, it's a CODA subject to testing as such.  The year in which the participant could have taken it as cash is the year in which the deferral is counted as such.

[ESOP Guy]

Seems like you are getting too tied up by the nomenclature and not looking at the facts. 

Let's re-label the "profit sharing contribution" they have the choice on to "bonus paid based on profits".

If it is a bonus does that make the answer easier to you? it does to me.

It is clearly a 401(k) deferral of a bonus based on profits.  it is clearly taxable in the year paid and thus that is the limitation year you look to.