115 T.C. No. 19
UNITED STATES TAX COURT
FLAHERTYS ARDEN BOWL, INC., Petitioner v.
COMMISSIONER OF INTERNAL REVENUE, Respondent
Docket No. 15223-98. Filed September 25, 2000.
F owns more than 50 percent of the stock of P. F
is a beneficiary of two retirement plans held by T.
Under the terms of the plans F is authorized to direct
the investments of the assets in his accounts in the
plans. F is a fiduciary under sec. 4975, I.R.C., and,
under that section, P is a “disqualified person”. Sec.
404(c) of the Employee Retirement Income Security Act
of 1974 (ERISA), Pub. L. 93-406, 88 Stat. 829, 877,
provides that if a plan beneficiary exercises control
over the plan’s assets in his account, the beneficiary
is not a fiduciary.
Held: ERISA sec. 404(c) does not modify the
definition of a fiduciary under sec. 4975, I.R.C., and
P is liable for the tax imposed by that section.
Page: 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Next
Last modified: May 25, 2011