In order to achieve tax deferral in a nonqualified deferred compensation arrangement, which of the following...

In order to achieve tax deferral in a nonqualified deferred compensation arrangement, which of the following is (are) true?

a. There must be a substantial risk of forfeiture.

b. The arrangement must be established in such a manner as to avoid constructive receipt.

c. The arrangement must be established in such a manner as to avoid a current economic benefit.

d. All of the above are correct.

Solutions

Expert Solution

b. The arrangement must be established in such a manner as to avoid constructive receipt.

The benefit will be on avaialabel subject to fulfilment of sec 409A conditions

jeff jeffy answered 2 years ago

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