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IRS Releases Proposed Regulations on New Comparability (Cross-Testing) Plans
FIS Relius Link to more items from this source
[Guidance Overview]
Oct. 18, 2000
"The IRS released proposed regulations on new comparability plans. The new regulations establish limits on the amount of disparity a defined contribution plan may provide between highly compensated employees (HCEs) and nonhighly compensated employees (NHCEs). For a defined contribution plan to utilize cross-testing to comply with the nondiscrimination requirements, the plan would need to satisfy a "minimum allocation gateway" requirement or provide 'broadly available allocation rates.'"

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