Solo 401k Disqualified Person
The regulations consider you a disqualified person if you are any of the following:
1. fiduciary of the Solo 401k Plan.
2. A person providing services to the Solo 401k Plan.
3. An employer, any of whose employees are covered by the Solo 401k Plan.
4. Any employee organization, any of whose members are covered by the plan.
5. Any direct or indirect owner of 50% or more of any of the following.
7. A corporation, partnership, trust, or estate of which ( or in which) any direct or indirect owner described in (1) through (5) holds 50% or more of any of the following.
9. A 10% or more (in capital or profits) partner or joint ventures of a person described in (3), (4), (5), or (7).
10. Any disqualified person, as described in (1) through (9) above, who is a disqualified person with respect to any Solo 401k plan to which a section 501(c)(22) trust is permitted to make payments under section 4223 of ERISA.
Click on Tax on Solo 401k Prohibited Transactions to learn more.
1. fiduciary of the Solo 401k Plan.
2. A person providing services to the Solo 401k Plan.
3. An employer, any of whose employees are covered by the Solo 401k Plan.
4. Any employee organization, any of whose members are covered by the plan.
5. Any direct or indirect owner of 50% or more of any of the following.
- The combined voting power of all classes of stock entitled to vote, or the total value of shares of all classes of stock of a corporation that is an employer or employee organization described in (3) or (4).
- The capital interest or profits of a partnership that is an employer or employee organization described in (3) or (4).
- The beneficial interest of a trust or unincorporated enterprise that is an employer or an employee organization described in (3) or (4).
7. A corporation, partnership, trust, or estate of which ( or in which) any direct or indirect owner described in (1) through (5) holds 50% or more of any of the following.
- The combined voting power of all classes of stock entitled to vote or the total value of shares of all classes of stock of a corporation.
- The capital interest or profits interest of a partnership.
- The beneficial interest of a trust or estate.
9. A 10% or more (in capital or profits) partner or joint ventures of a person described in (3), (4), (5), or (7).
10. Any disqualified person, as described in (1) through (9) above, who is a disqualified person with respect to any Solo 401k plan to which a section 501(c)(22) trust is permitted to make payments under section 4223 of ERISA.
Click on Tax on Solo 401k Prohibited Transactions to learn more.