Section 420 states the tax treatment on amounts transferred out of 401

[Guest meggie]

Section 420 states the tax treatment on amounts transferred out of 401(h) accounts to a transferor plan. What is a "transferor plan"? Can the transferor plan be the pension plan? Our situation involves terminating the 401(h) accounts and returning the assets that remain in the 401(h) accounts. If the assets go to a "transferor" plan, does that mean that there is 50% reversion tax to the employer and the transferred assets are not includable as gross income to the employer?. Do the excess assets have to be returned to the pension plan? Are there any other tax ramifications associated with this situation?