KENNETH ELLIOT: Defendant Kenneth Elliot

KENNETH ELLIOT: Defendant Kenneth Elliot: Defendant Kenneth Elliot personally and through both his employment with co-defendant Sea Nine Associates, Inc., a number of related entitie...

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  1. This bill has the status IntroducedHere are the steps for Status of Legislation:
    Introduced
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    Labor and Employment
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    Summary: S.1386 — 107th Congress (2001-2002)

    There is one summary for this bill. Bill summaries are authored by CRS.
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    Introduced in Senate (08/03/2001)

    Employee Welfare Benefit Equity Act of 2001 - Amends the Internal Revenue Code, with respect to the limited deductibility of employer contributions to welfare benefit funds, to revise the exception from such treatment for a single plan with ten or more employers. Adds to current requirements for a ten-or-more employer plan that the plan must: (1) meet specified nondiscrimination requirements with respect to all benefits the plan provides; (2) receive a favorable determination from the Secretary of the Treasury that the plan (or a predecessor plan) is a voluntary employees' beneficiary association meeting certain criteria; and (3) provide no severance pay benefit.
    Defines an experience-related plan, to which such exception does not apply (thus qualifying it for limited deductibility of employer contributions), as a plan which determines contributions by individual employers on the basis of actual gain or loss experience. Excludes from experience-related plans (and so excepts from limited deductibility of employer contributions) guaranteed benefit plans funded with insurance contracts or otherwise determinable and payable to a participant without reference to, or limitation by, the amount of contributions to the plan attributable to any contributing employer.

    Requires the taxpayer to apply for and receive a determination by the Secretary of the Treasury that a collective bargaining agreement is bona fide and the welfare benefits provided under it were the subject of good faith bargaining before a qualified asset account may be unlimited under an employee pay-all plan.

    Declares that a welfare benefit fund meeting all applicable requirements shall not be treated as a tax shelter or corporate tax shelter.

    Prescribes an excise tax equal to 100 percent of all contributions to a funded welfare benefit plan that is terminated prematurely, that is, within six years after the first contribution to the fund which benefits any highly compensated employee.

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