Client owns 100% of a construction business (Company A) which currently has a 401(k) plan. The client just purchased a 50% interest in another construction business (Company B). The companies work together in both referring work and the completion of jobs but are not exclusive and provide services separately. The owner of Company A would like to have Company B join his plan. I can't see this falling under an ASG or a controlled group. Is there any issue with company B becoming an adopting employer of company A's Plan?

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I have a 406(b)(2) transaction (payment of plan expenses out of the wrong plan). Instructions for filing the VFCP indicate that you can be exempt from the excise tax if you fall under PTE 2002‑51, which we don't (2002-51 says exemption applies for payment of settlor expenses; our expenses are administrative non-settlor expenses). We will file the 5500 Schedule G. Do we need to file the 5330 and are we subject to excise tax under 4975? 4975 does not list a provision parallel to 406(b)(2) as a prohibited transaction subject to the excise tax. Is it possible to file the VFCP and report the transaction on the 5500 but not be subject to the excise tax and not have to file the 5330? Note instructions for the 5330 under prohibited transactions do not list the transaction listed under 406(b)(2).

I have a potential client who owns a carpentry business. He and all of his employees are collectively bargained, and participate in a Union Money Purchase Plan (they also get collectively-bargained health coverage). If the owner were not collectively bargained, I'd feel comfortable saying that he could set up a new DB plan just for himself, because all of his employees are collectively bargained and therefore excludable from nondiscrimination testing. What's not clear to me is whether he can set up a new plan just for himself, given that he himself is collectively bargained. For reference, here is the general rule from 1.410(b)-6 (highlight is my own): "(1) General rule. A collectively bargained employee is an excludable employee with respect to a plan that benefits solely noncollectively bargained employees. If a plan (within the meaning of Section 1.410(b)-7(b)) benefits both collectively bargained employees and noncollectively bargained employees for a plan year, Section 1.410(b)-7(c)(4) provides that the portion of the plan that benefits the collectively bargained employees is treated as a separate plan from the portion of the plan that benefits the noncollectively bargained employees. Thus, a collectively bargained employee is always an excludable employee with respect to the mandatorily disaggregated portion of any plan that benefits noncollectively bargained employees." Any insights are welcome.

We were TPA for a plan that transitioned from small (5500-SF) to large (5500) in 2012. We completed all work for the 5500 and were just waiting for the audit, which was never done. After repeated follow-ups, we eventually resigned. Periodic checking of the EFAST website confirmed that nothing was ever filed on the plan after the 5500-SF for 2011 which we handled. Apparently due to a personnel change, the sponsor has become aware of the missed filings and contacted us. If we bring them into compliance, it would involve a DFVC filing for 2012‑2017 (6 years). My question is, does the sponsor have to get 6 separate audits -- one for each year -- or can he get one comprehensive audit covering the entire 6 year period? And if he can get one comprehensive audit, how does this work on EFAST? Do we attach the same audit reports to each year's filing, or is there some way to override the missing audit and submit it only with the final 2017 report?

Can an HRA base the reimbursement levels upon health insurance status? For example, can it be $1,000 if you are enrolled in the health insurance as a single, $2,000 if enrolled as a 2-person, and, $3,000 if you have family coverage?