“BenefitsLink continues to be the most valuable resource we have at the firm.”
-- An attorney subscriber
|IRS Approves Termination of ESOP and Redemption of Stock in Suspense Account to Pay Loan Balance (PDF)|
Internal Revenue Service [IRS]
Apr. 1, 2002
Private letter ruling 200213033. Excerpt: [A]n ESOP loan will be exempt from the prohibitions provided in section 4975(c) and the excise taxes imposed by sections 4975(a) and (b) only if the loan is primarily for the benefit of plan participants and beneficiaries.... Substantial contributions to Plan X have been made on a continuing basis since 1997 resulting in a significant repayment of the Loan.
|Please click here to report this link if it is broken (for example, if you see a "404 File Not Found" error message after you click on the link above).|
|An important word about authorship: BenefitsLink® is providing a hypertext link to the item shown above, but is not the author of the item (unless otherwise specified).|