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Writer's pictureCharity Colleen Crouse

Clear me off NOW

With all that congress HAS done and is going to try to do deceptively, can anyone tell me what this means in light of the "Paycheck Protection Program?"




 



SEC. 1146. TREATMENT OF LEASED EMPLOYEES. (a) MODIFICATIONS OF LEASED EMPLOYEE PROVISIONS.— (1) GENERAL RULE.—Paragraph (5) of section 414(n) (relating to safe harbor exemption) is amended to read as follows: "(5) SAFE HARBOR.— "(A) IN GENERAL.—In the case of requirements described in subparagraphs (A) and (B) of paragraph (3), this subsec- tion shall not apply to any leased employee with respect to services performed for a recipient if— "(i) such employee is covered by a plan which is maintained by the leasing organization and meets the requirements of subparagraph (B), and "(ii) leased employees (determined without regard to this paragraph) do not constitute more than 20 percent of the recipient's nonhighly compensated work force. "(B) PLAN REQUIREMENTS.—A plan meets the require- ments of this subparagraph if— "(i) such plan is a money purchase pension plan with a nonintegrated employer contribution rate for each participant of at least 10 percent of compensation, "(ii) such plan provides for full and immediate vest- ing, and "(iii) each employee of the leasing organization (other than employees who perform substantially all of their

services for the leasing organization) immediately participates in such plan. Clause (iii) shall not apply to any individual whose com- pensation from the leasing organization in each plan year during the 4-year period ending with the plan year is less than $1,000. "(C) DEFINITIONS.—For purposes of this paragraph— "(i) HIGHLY COMPENSATED EMPLOYEE.—The term 'highly compensated employee' has the meaning given such term by section 414(q). "(ii) NONHIGHLY COMPENSATED WORK FORCE.—The term 'nonhighly compensated work force' means the aggregate number of individuals (other than highly compensated employees)— "(I) who are employees of the recipient (without regard to this subsection) and have performed serv- ices for the recipient (or for the recipient and related persons) on a substantially full-time basis for a period of at least 1 year, or "(II) who are leased employees with respect to the recipient (determined without regard to this paragraph), "(iii) COMPENSATION.—The term 'compensation' has the same meaning as when used in section 415; except that such term shall include— "(I) any employer contribution under a qualified cash or deferred arrangement to the extent not included in gross income under section 402(a)(8) or 402(h)(1)(B), "(II) any amount which the employee would have received in cash but for an election under a cafe- teria plan (within the meaning of section 125), and "(III) any amount contributed to an annuity con- tract described in section 4030t>) pursuant to a salary reduction agreement (within the meaning of section 3121(a)(5)(D))." (2) CLARIFICATION OF YEARS OF SERVICE.—Paragraph (4) of section 414(n) is amended to read as follows: "(4) TIME WHEN FIRST CONSIDERED AS EMPLOYEE.— "(A) IN GENERAL.—In the case of any leased employee, paragraph (1) shall apply only for purposes of determining whether the requirements listed in paragraph (3) are met for periods after the close of the period referred to in paragraph (2)(B). "(B) YEARS OF SERVICE.—In the case of a person who is an employee of the recipient (whether by reason of this subsec- tion or otherwise), for purposes of the requirements listed in paragraph (3), years of service for the recipient shall be determined by taking into account any period for which such employee would have been a leased employee but for the requirements of paragraph (2)(B)." (3) CONFORMING AMENDMENT.—Paragraph (6) of section 414(n) is amended to read as follows: "(6) OTHER RULES.—For purposes of this subsection— "(A) RELATED PERSONS.—The term 'related persons' has the same meaning as when used ii. section 103(bX6XC).

"(B) EMPLOYEES OF ENTITIES UNDER COMMON CONTROL.— The rules of subsections (b), (c), (m), and (o) shall apply."



 

I do not think so.


6:57 pm CST

May 30, 2020


Less than 30 hours until what?




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