Prime Benefits
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Manager/Supervisor of Benefits and Payroll Compensation Virginia Farm Bureau
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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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Advanced Plan Designs, LLC
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Pension Rights Center
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Carpenter Morse Group
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Howard Simon & Associates
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Small NY Actuarial TPA Firm
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Definiti
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Southern Pension Services
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Question 7: I'm not sure if this comes within the scope of your column but I'll ask the question anyway. My concern relates to the proper treatment of stock options where the options are granted on shares that are not outstanding. Are such options counted for the purposes of determining ownership under 414(q) and 416? |
Answer: This does fall within my scope, because status as a 5% owner under 416(i) (and hence 414(q)) is determined under IRC 318, the exact same rules as are used to determine affiliated service groups. |
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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