EBIA Weekly Newsletter

Judgment Against Fiduciary for Misuse of Plan Assets Cannot Be Discharged in Bankruptcy


   February 16, 2017

In re Harris, 2017 WL 65392 (B.A.P. 8th Cir. 2016) Available at http://media.ca8.uscourts.gov/opndir/17/01/166024P.pdf A company facing significant financial difficulties failed to remit health plan premiums withheld from employees’ paychecks to the plan’s insurer, and instead paid other expenses, including personal expenses of the company’s CEO. Eventually, the employees’ health coverage was retroactively terminated. … Read More


IRS Issues 2016 Version of Publication 463 on Travel, Entertainment, Gift, and Car Expenses


   February 16, 2017

IRS Publication 463 (Travel, Entertainment, Gift, and Car Expenses (for 2016 Tax Returns)) Available at https://www.irs.gov/pub/irs-prior/p463–2016.pdf The IRS has released its latest version of Publication 463 (Travel, Entertainment, Gift, and Car Expenses) for use in preparing 2016 tax returns. This publication explains when employees and sole proprietors may deduct work-related travel, entertainment, gift, … Read More


Another Trial Court Rejects Challenge to DOL Fiduciary Rule


   February 16, 2017

Chamber of Commerce v. Hugler, 2017 WL 514424 (N.D. Tex. 2017) Available at https://www.gpo.gov/fdsys/pkg/USCOURTS-txnd-3_16-cv-01476/pdf/USCOURTS-txnd-3_16-cv-01476-0.pdf Three trade associations, including two representing the insurance industry, brought this lawsuit challenging the DOL’s final fiduciary rule and two related prohibited transaction exemptions (PTEs). The final fiduciary rule replaces a rule that includes a restrictive five-part test for … Read More


Can Employees Taking Unpaid FMLA Leave Pay Their Share of Group Health Plan Premiums on a Pre-Tax Basis Under Our Cafeteria Plan When They Return From Leave?


   February 16, 2017

QUESTION: One of our employees is going on unpaid FMLA leave. She is a participant in our premium-only cafeteria plan and wants to keep her coverage under our major medical plan during the leave. However, she would like to pay her share of the premiums for her coverage on a pre-tax basis under the cafeteria … Read More