Common use of EXCESS SEP CONTRIBUTIONS INCLUDIBLE IN INCOME Excess Clause in Contracts

EXCESS SEP CONTRIBUTIONS INCLUDIBLE IN INCOME Excess. SEP contributions are includible in the participating Employee's gross income on the earliest dates any Elective Deferrals made on behalf of the Employee during the Plan Year would have been received by the Employee had he or she originally elected to receive the amounts in cash. However, if the excess SEP contributions (not including allocable income) total less than $100, then the excess contributions are includible in the Employee's gross income in the year of notification. Income allocable to the excess SEP contributions is includible in the year of withdrawal from the IRA. 6.7