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Deadline for profit sharing if short plan year follows


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Posted

Plan year has been April 1 - March 31 for some time, but is then amended for PYE Dec 31. One plan year ended March 31 2019; the next plan year will be short, ending December 31, 2019. For PYE 3/31/2019, what is the deadline for depositing a profit sharing contribution? Does the deposit need to take place by 12/31/2019 (i.e.,  the last day of the following/short plan year)? Or does the sponsor have a full 12 months...until March 31, 2020?

Only asking about the allowed timing. Not about deductibility, comp, or limits on amounts.

Thanks

Posted

Does the sponsor have the same year for its tax return and is also changing?

Luke Bailey

Senior Counsel

Clark Hill PLC

214-651-4572 (O) | LBailey@clarkhill.com

2600 Dallas Parkway Suite 600

Frisco, TX 75034

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