Controlled Group and Top Heavy

Co. A sponsors SHNEC plan with a profit sharing contribution as well.  Plan is TH.  Owner of Co. A also owns Co B and Co. B is NOT a participating sponsor of the plan.  Pass RPT without issue.  Are these employees required to receive a Top Heavy contribution?  I love it when they tell me about new businesses the week before their PYE and they want their contribution before the PYE on Monday.

Does your document automatically cover members of a controlled group? If no then employees are not cover by Plan A and are not entitled to any benefits.

Of course for testing the employees of Company B are all not benefiting in your controlled group. If you pass all non-discrimimation tests with them excluded, sounds like you are fine.

Does Company B sponsor their own plan? If so it may or may not be part of a required aggregation group for 416 which might kick in a required TH minimum.

Company B does not sponsor it's own plan but we are considering either adding them to current plan or setting up their own.  I don't think they would pass non discrimination separately so I think setting up 2 separate may not be the way to go.

sorry should have added they have different fiscal year ends.  I could set the second plan up with the same plan year end as the current plan even though it doesn't match up with their fiscal year end so then I could aggregate for testing, right?

But I assume this also still leaves them open to issues with Top Heavy.