- 3 -- 3 - Section 7476(b)(1) limits the persons who may file a petition under section 7476 to, inter alia, "an employee who has qualified under regulations prescribed by the Secretary as an interested party". For purposes here, the definition of an interested party is generally limited to "present employees of the employer who are eligible to participate in the plan" and "other present employees of the employer" who share the same place of business. Sec. 1.7476-1(b)(1), Income Tax Regs.; emphasis added. With regard to certain plan amendments, section 1.7476-1(b)(3), Income Tax Regs., provides: In the case of an application for an advance determination as to whether a plan amendment affects the continuing qualification of a plan, if (i) there is outstanding a favorable determination letter for a plan year to which section 410 applies, and (ii) the amendment does not alter the participation provisions of the plan, then [paragraph] (b)(1) * * * shall not apply, and all present employees of the employer who are eligible to participate in the plan * * * shall be interested parties. * * * [Emphasis added.] The only circumstance in which a former employee qualifies as an interested party is in the event of a plan termination. Sec. 1.7476-1(b)(5), Income Tax Regs. Petitioner concedes that this situation does not involve a plan termination. In short, except in the event of a plan termination, under the regulations former employees are not interested parties for purposes of section 7476 and are not authorized to file a petition with this Court.Page: Previous 1 2 3 4 5 Next
Last modified: May 25, 2011