"I have a client who took his RMD in January 2020 for 2020 from his IRA. Due to CARES, can he put it back in the IRA now? It has been more than 60 days since he took the RMD."

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"So it's clear that a 402(f) notice is not required. What about needing to say something about the 10% default withholding (unless chosen otherwise), the repayment period, the stretch taxes, and all that jazz?"

"Has anyone received formal guidance on calculating self-funded health plan cost for the PPP application? I know you have to back out employee contributions. The banker indicates it has to be on a cash basis; so if true, that would rule out a few methods. Haven’t seen any guidance yet. Carrier has not advised yet either."

"Regarding the extension of a participant's loan past 5 years because of the CARES Act -- Two sources seem to be in conflict. Here are excerpts from the websites:

(Website No. 1:) However, a participant with an outstanding plan loan who is placed on an unpaid leave of absence may forego making loan payments during the leave of absence without triggering taxation of the loan, provided the following requirements are met:

1. The unpaid leave of absence does not exceed one year.
2. The loan must still be repaid by the end of the original term of the loan. Thus, the participant may make up the missed loan repayments upon returning to work, resume the original repayments with a lump sum payment of the missed repayments at the end of the term, or increase the amount of each repayment for the remainder of the repayment period upon returning to work.

(Website No. 2:) Any participant loan payments due from Qualifying Individuals between March 27, 2020 and December 31, 2020 can be delayed for up to one year. If this one-year delay applies, the normal five-year maximum repayment term is extended to six years.

See my confusion? One says the loan must be repaid by the original term of the loan, while the other says I can change a 5-year loan into a 6-year loan. Can anyone clarify?"

"I was drafting a Coronavirus-related distribution application form, which included the certification that the applicant is an eligible individual. The employee has to represent that s/he has been diagnosed with Coronavirus, and that a spouse or dependent child has or that s/he has experienced adverse financial consequences -- which seems awfully close to being HIPAA protected health information. Fortunately, this client has a TPA who will be administering this provision (as well as other facets of the plan). Does the possible application of the first two grounds of qualifying for a coronavirus-related distribution mean the plan become subject the HIPAA privacy requirements?"

"We are having a debate about the repayment of a COVID distribution back into the plan, and whether they should be coded as normal (pre-tax) or as after-tax. I understand that Roth has to be accounted for separately. Seems to me that, because the repayments offset the tax burden, the monies become pre-tax once again. Agree?"

"Is a FICA Alternative Plan functioning under a 457 or 403(b) plan covered under the CARES Act?"

"The CARES Act says that minimum required contributions due in 2020 can be delayed until 1/1/21. If a calendar year DB plan has a 2019 MRC of $40k due, a maximum allowable contribution of $200k, and the employer wants to contribute $100k, then a literal interpretation of the Act would be that $60k is still due by 9/15/20 while only the $40k MRC can be delayed until 1/1/21. In other words, the seemingly unintended effect would be that an amount greater than the MRC would be due by 9/15. Should the new rules be taken to mean that the whole contribution can be deposited by 1/1/21 even if it exceeds the minimum required amount?"

"Do you think it was intentional or an oversight that the criteria for a qualified individual includes reduced work hours, but not reduced compensation? If a salaried employee is required to work the same number of hours at a reduced salary are they out of luck to be considered a qualified individual?"

"Participant elects flat dollar amount to be withheld from paycheck. Pay amount for this pay period is less than the election amount. Should the election be ignored or 100% less tax withholding be withheld? The document, deferral procedure and enrollment form are all silent on the issue."

"Because many are working remotely, will the June 2019 FYE 5500s that are on extension until 4/15 be included in the new extension?"

"Looking at a 2018 K-1 for a takeover plan (partnership and each partner is making the same amount). Something doesn't seem right to me. K-1 line 14 is $125,000 (same as Line 1 - ordinary business income). Partner pension deduction is $25,000. Partner employee portion deduction is $1,000. Partner health insurance deduction is $15,000. The amount subject to self employment tax was calculated based on $85,000 ($125k less $25k less $15k). My approach to calculate the amount subject to self employment tax would be $124,000 ($125k less $1k - employee portion). Agree?"

"I know there was an extension in funding an IRA with the due date of tax returns being pushed back until July 15. I haven't seen anything as to whether that's true for employer contributions for the 2019 Plan Year. Have you?"

"A client's wife inherited an IRA from her mother in 2017. The wife passed in 2020, so now the husband is the beneficiary of the Inherited IRA. Ignoring the waiving of RMDs for 2020 due to the virus, does the SECURE Act now apply -- i.e., does the husband need to take out the full balance within 10 years?"

"If a wife takes a loan from a 401k plan and passes away before it is paid off, can the husband pay off the loan before the end of the quarter following her passing? Or is it automatically defaulted?"

"So I hear that individuals who continue to work full-time on a reduced salary are not eligible. A self-employed individual has the ability to work full-time but can't drum up work for obvious reasons. They can't take a distribution for adverse financial reasons?"

"The legislation doesn't count a participant as an 'eligible' participant if the participant's SPOUSE gets laid off due to COVID-related financial issues at the spouse's employer. I'm guessing the odds are that Treasury will add this situation to the list of 'other factors' to be determined. Anyone heard anything on this? I expect that unfortunately there will be a huge number of such situations."

"Corporation A has no Plan, and buys all the stock in Corporation B, which has a 401(k) plan. Corporation A wants to keep the plan. What's the simplest way to do that? Just change plan name and tax ID?"