Clarification of Procedures for a Multiple Employer Plan to Apply for a Determination Letter -- 07-MAY-2018

The Form 5300 instructions state that controlling members and participating employers of multiple employer plans who wish to obtain a determination letter for the plan must submit their applications together. Section 12.01 (volume submitter plans) and section 14.02 (individually designed plans) of Revenue Procedure 2018-4 provides that participating employers are no longer permitted to obtain their own determination letters. Instead participating employers must rely upon favorable determination letters issued to the controlling member of a multiple employer plan.

Effective January 2, 2018, only controlling members of multiple employer plans that meet the requirements of sections 12.01 and 14.02 of Revenue Procedure 2018-4 and Revenue Procedure 2016-37 are permitted to file determination letter applications.