Our client is a long term employee with appreciated stock in his 401k. We would like to take advantage of the net unrealized appreciation rules in 402(e). We’ve been told that the company held the stock in a unitized fund structure for a time during his employment. He initially received shares outright via a Profit Sharing Plan which transitioned to a 401k unitized stock arrangement and then to a 401k that held the stock outright. The stock remains owned outright in the 401k. Can we still take advantage of NUA? If he can take advantage of NUA how is the basis calculated while he was accumulating shares of unitized stock?