First, a trust is exempt if it contains the assets of a disabled individual under age 65, established for his or her benefit by
a parent, grandparent, legal guardian or court.
The simplicity of the notion that otherwise separate and distinct companies will benefit by
becoming "purchasing partners" often hides the tremendous economic power at stake.
Or someone else can still pay for the benefit by
making up for what the executive owes the IRS.
Section 411(d)(6) provides an anti-cutback rule, i.e., an employer may not decrease an accrued benefit by
amending the plan.
If Anderson's compensation is not modified to remove the excess benefit by
the date the first-tier tax is assessed, she will be subject to a second-tier tax of $600,000 (200% of $300,000).
Some, such as farmers, benefit by
virtue of perceived contributions to the national interest.
Olympia & York's empty 320 Park Avenue might benefit by
reducing costs for a prospective purchaser.
The Third Circuit explained that a plan sponsor could prospectively eliminate an early retirement benefit by
amendment, but the amendment could not adversely affect the early retirement benefit of a participant who satisfied the preamendment conditions for the benefit either before or after the amendment.
In addition, electronic filing is considered a de minimis fringe benefit by
the IRS, so its value need not be included on an employee's Form W-2.
If the provision of the benefit by
the employer discriminates in favor of a prohibited class of employees (e.g., highly compensated employees (HCEs), as defined in Sec.
This employee would benefit by
taking fringe benefits on a nontaxable basis during these early years.