Article: Rare IRS Insurance Code Aids Company, Employees.

LITTLE-KNOWN INTERNAL Revenue Code Section 419 gives corporations a discriminatory employee life insurance, benefit while significantly lowering business income taxes.

Excluding sole proprietorships, businesses are eligible for the welfare benefit, trust if a minimum of two people -- both of whom must be employed by the company -- enroll in the plan. At least one participant must be a non-owner, and major share holders are also eligible.

In short, it's a great way to make Uncle Sam pay for employee life insurance premiums while investing tax-deferred money.

John Ervin, owner of Ervin & Co. CPAs in Fayetteville, said the best aspect of the plan ...

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