Revisions to simplified employee pension plans increase their usefulness
Article Abstract:
Simplified employee pensions (SEPs) were mainly designed so that small businesses can provide qualified retirement plans for their employees. The Tax Reform Act of 1986 made it possible for employees to make pre-tax contributions to an employer-established SEP, though it is only an option for businesses with a maximum of 25 employees and at least half of the employees must participate. An example of a self-designed SEP is presented, showing how to avoid the top-heavy provisions of many such plans.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1989
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Receipt of partnership interest for services not always subject to immediate tax
Article Abstract:
Real income can be realized as the receipt of an unrestricted holding in partnership capital received for previous services. Once the receipt is attached according to performance of expected services, Section 83 of the Internal Revenue Code applies to the income realized. When the restriction that was enacted is settled, income can be recognized.
Publication Name: Taxation for Accountants
Subject: Business
ISSN: 0040-0165
Year: 1986
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- Abstracts: Regarding multiple employer welfare benefit plans (VEBA and non-VEBA): it's time to stop all the insanity. Despite Judge Laro's guidance in Booth and Neonatology, recent letter ruling shows IRS still has problems understanding "419 plans"
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