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In J.P. Jeter Co., Inc. v. Commissioner, supra, the
Commissioner determined that taxpayer was liable for excise taxes
imposed by section 4971(a) and (b) due to a section 412
accumulated funding deficiency in its money purchase pension
plan. Taxpayer's money purchase pension plan was effective
beginning January 1, 1981. Due to taxpayer's business
circumstances, taxpayer failed to make contributions to the plan
after the plan year ending December 31, 1982. Taxpayer requested
a funding waiver in September of 1985. The request stated that
taxpayer anticipated contributions to resume in 1986 or 1987.
Attached to the waiver request was a Form 5500-R for the plan
year 1983 which stated that the plan was not terminated in 1983.
The waiver was granted in February of 1986. Taxpayer sent a
request for a determination letter on termination of the plan in
March of 1987. Attached to this letter was a copy of a
resolution adopted by taxpayer's board of directors on June 16,
1986 "to terminate the J.P. Jeter Company, Inc. Money Purchase
Plan as of December 31, 1984." The Commissioner sent a favorable
determination letter on October 21, 1987, declaring that it
applied as to the proposed termination date of June 16, 1986.
Taxpayer in the above case argued that the plan was
terminated in 1982 when it ceased making contributions to the
plan, thereby ceasing to meet the plan's funding requirements at
such time. We held that the plan was terminated "around June 16,
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