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PUBLIC LAW 8 7 - 7 9 2 - O C T
10, 1962
815
to the owner-employee on whose behalf such excess contribution is made; " (B) if for any taxable year the plan does not, by reason of subsection (e)(2)(A), meet (for purposes of section 404) Post, p.sie. the requirements of this subsection with respect to an owneremployee, the income for the taxable year attributable to the interest of such owner-employee under the plan is to be paid to such owner-employee; and " (C) the entire interest of an owner-employee is to be repaid to him when required by the provisions of subsection (e)(2)(E). Post. p. 817. "(9)(A) If the plan provides contributions or benefits for an owner-employee who controls, or for two or more owner-employees who together control, the trade or business with respect to which the plan is established, and who also control as an owner-employee or as owner-employees one or more other trades or businesses, such plan and the plans established with respect to such other trades or businesses, when coalesced, constitute a single plan which meets the requirements of subsection (a) (including paragraph (10) thereof) and of this subsection with respect to 68A Stat. i34; the employees of all such trades or businesses (including the trade '*'l'f'„S-®i?-, i
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or busmess with respect to which the plan intended to qualify ^ under this section is established).
" (B) For purposes of subparagraph (A), an owner-employee, •, or two or more owner-employees, shall be considered to control a trade or business if such owner-employee, or such two or more owner-employees together— " (i) own the entire interest in an unincorporated trade or business, or " (ii) in the case of a partnership, own more than 50 percent .of either the capital interest or the profits interest m such partnership. For purposes of the preceding sentence, an owner-employee, or two or more owner-employees, shall be treated as owning any interest in a partnership which is owned, directly or indirectly, by a partnership which such owner-employee, or such two or more owner-employees, are considered to control within the mean, ing of the preceding sentence. "(10) The plan does riot provide contributions or benefits for any owner-employee who controls (within the meaning of paragraph (9)(B)), or for two or more owner-employees who together control, as an owner-employee or as owner-employees, any other trade or business, unless the employees of each trade or business which such owner-employee or such owner-employees control are included under a plan which meets the requirements of subsection (a) (including paragraph (10) thereof) and of this subsection, and provides contributions and benefits for employees which are not less favorable than contributions and benefits provided for owner-employees under the plan. "(11) Under the plan, contributions on behalf of any owneremployee may be made only with respect to the earned income of such owner-employee which is derived from the trade or business with respect to which such plan is established. "(e)
EXCESS CONTRIBUTIONS ON BEHALF OF OWNER-EMPLOYEES.— "(1) EXCESS CONTRIBUTION DEFINED.—For purposes of this sec-
tion, the term 'excess contribution' means, except as provided in paragraph (3)— " (A) if, in the taxable year, contributions are made under the plan only on behalf of owner-employees, the amount of
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