Is the 15 day notice required in the case of an incorporated 1 life DB plan that employs only the owner?

Clearly an "owner-employee" plan is exempt but our legal people are hesitant to extend this to a corporation due to some concern over some part of regulation 2510.3-3(b).

Has anybody looked at this?

I know the EOB says that plans eligible for 5500-EZ are exempt and the EZ instructions clearly allow such filing by a 1 life owner employee corporation so that is one bullet in my gun. I'm looking for more ammunition. Thanks for any help.

What part of the regs are they concerned about? Paragraph c(1) clearly states that where a corporation is wholly owned by the individual, or the individual and the spouse, then they are not employees under Title I.

The reservation is the specific reference in Q&A 3 which which refers to employees "as described in 2510.3-3(b)"

And 3(b) describes plans without employees and gives examples of unincorporated businesses and keogh plans.

Not until you get to 3© does this get extended to "...or business, whether incorporated or unincorporated"

Clearly this is a conservative interpretation but it is from an experienced ERISA attorney and I am trying to overcome it with facts.

Paragraph c states that it applies to the entire section. But I see your point now - the ERISA attorney is saying the Q&A 3 refers to paragraph b which must be viewed apart from any other paragraphs. That is not just conservative, in my opinion it goes to being unreasonable in the extreme. Ammunition: "if you need to justify your existence, please do it in some other way" (just kidding - everyone is entitled to their opinion!).

A lesser person I may have said that to!

Thank you for the comments and the sympathetic ear.