Small NY Actuarial TPA Firm
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Southern Pension Services
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Definiti
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Quantech Pensions LLC
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Retirement Plan Relationship Manager Prosperity Advisors, LLC
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Advanced Plan Designs, LLC
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Southern Pension Services
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Defined Contribution Plan Administrator Pension Investors Corp of Orlando Inc
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Manager/Supervisor of Benefits and Payroll Compensation Virginia Farm Bureau
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Plan Compliance Analyst (administrator) RPA
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Carpenter Morse Group
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Howard Simon & Associates
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Pension Rights Center
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Question 224: John owns 100% of Acme Inc. and 75% of Widget Inc. Mary owns the other 25% of Widget Inc. There's no attribution or exclusion between them. Why wouldn't this be a controlled group? After all, John and Mary are fewer than 5 individuals, they collectively own at least 80% of each company, and John owns more than 50% of each company. |
Answer: This is not a point you find from reading IRC 1563. Rather, we learn it from the 1982 Supreme Court decision, U.S. v. Vogel Fertilizer. Without question it is the most important decision in the controlled group arena. It comes up in most of the controlled group situations I review. |
Answers are provided as general guidance on the subjects covered in the question and are not provided as legal advice to the questioner or to readers. Any legal issues should be reviewed by your legal counsel to apply the law to the particular facts of this and similar situations.
The law in this area changes frequently. Answers are believed to be correct as of the posting dates shown. The completeness or accuracy of a particular answer may be affected by changes in the law (statutes, regulations, rulings, court decisions, etc.) that occur after the date on which a particular Q&A is posted.
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