SECTION 13. FEES — Internal Revenue Bulletin 2000-6

.01 Rev. Proc. 2000–8 modified . The VCR compliance fee is processed under the user fee program described in Rev. Proc. 2000–8, 2000–1 I.R.B. 230.

.02 VCR fee . Unless SVP is applicable, the VCR compliance fee depends on the assets of the plan and the number of plan participants.

(1) The fee for a plan with assets of less than $500,000, and no more than 1,000 plan participants, is $500. (2) The fee for a plan with assets of

at least $500,000, and no more than 1,000 plan participants, is $1,250.

(3) The fee for a plan with more than 1,000 plan participants but less than 10,000 plan participants is $5,000. (4) The fee for a plan with 10,000 or more plan participants is $10,000.

.03 Establishing number of plan par- ticipants . The compliance fee is calculated by the Plan Sponsor using the numbers from the most recently filed Form 5500 series to establish the fee. Thus, with respect to the 1998 Form 5500, the Plan Sponsor would use the number shown on line 7(f) (or the equivalent line on the Form 5500 C/R or EZ) to establish the number of plan participants and would use line 31(f) (or the equivalent line on the Form 5500 C/R or EZ) to establish the amount of plan assets.

.04 SVP fee . The SVP compliance fee

is $350.

.05 Walk-in CAP compliance correc- tion fee . (1) Compliance correction fee chart . The compliance correction fee for a Walk-in CAP application is determined in accordance with the chart below. The chart contains a graduated range of fees based on the size of the plan (with the number of participants determined as provided in section 13.03). Each range includes a minimum amount, a maximum amount, and a presumptive amount. In each case, the minimum amount is the applicable VCR fee in section 13.02. It is expected that in most instances the compliance correction fee imposed will be at or near the presumptive amount in each range; however, the fee may be a higher or lower amount within the range, depending on the factors in paragraph (2) below.

2000–6 I.R.B. 533 February 7, 2000

February 7, 2000 534 2000–6 I.R.B.

(6) Fee for egregious failures. In cases involving failures that are egregious, the maximum compliance correction fee applicable to the plan is increased to 40 percent of the Total Sanction Amount and no presumptive amount applies.