The IRS has coined a structure that has been designed as a means for prospective business owners to access accumulated tax-deferred retirement funds in order to cover new business start-up costs as Rollovers as Business Start-ups, or ROBS. As stated in the IRS’s October 1, 2008 Memorandum and repeatedly affirmed by the IRS, the ROBS structure is legal but has been poorly implemented by a number of the promoters who have been actively marketing the structure. In other words, the IRS has concluded that the ROBS transaction is perfectly legal it has just not been implemented properly from an IRS and ERISA compliance standpoint. In contrast, the IRA Financial Group’s in-house retirement tax professionals have spent the last several years reviewing IRS materials and guidance in order to develop the Business Acquisition & Compliance Solution Structure (“BACSS“), an IRS and ERISA compliant structure for using retirement funds to acquire or invest in a business tax free!
While BACSS involves many of the same features of the ROBS transaction, the core distinction is that BACSS has been carefully developed by retirement tax professionals to include all the necessary elements so that the structure is fully compliant with IRS and ERISA rules and procedures. While our competitors were promoting the ROBS structure, which in many cases failed from a compliance standpoint, the IRA Financial Group’s in-house retirement tax professionals spent the last two years reviewing IRS materials in order to develop an IRS and ERISA compliant structure for using retirement funds to acquire or invest in a business tax free!
The IRA Financial Group’s in-house retirement tax professionals will work closely with you to assure that all IRS and ERISA compliance rules and procedures are carefully followed to ensure the legality of the structure.