Reporting of Late Participant Contributions

Employers are reminded of the importance of remitting participant elective deferrals to employee benefit plans as soon as they can be segregated from the employer’s general assets. In the event this has not occurred at any point during the plan year, resulting in late contributions, the total amount of the delinquent contributions must be reported …

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Valuation Discounts for Gift of Single-Member LLC Interests

In a split decision by the U.S. Tax Court (Suzanne J. Pierre v. Comm., 133 T.C. No. 2), the court dealt with the issue as to whether a single-member LLC is to be disregarded for transfer tax purposes (i.e., gift tax purposes), thus treating the gift as a direct gift of the underlying property of …

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The Importance of Monitoring Your TPA

Oftentimes during a 401(k) plan audit, the employer will respond to various questions about their plan with the answer “Our TPA handles all of that for us.” Indeed it is very common for plan sponsors to hire third-party administrators (TPAs) to manage some of the plan’s day-to-day operations. While there is much to be gained …

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