Jump to content

Pre 1/1/09 Contracts - Participants Excluded, but not assets


Recommended Posts

New client has been excluding pre-1/1/09 contracts for participant counts, but NOT the assets. This is a plan where the pre 1/1/09 contracts will push them over the audit requirement.

Is amending the 5500's for the past 5 years the only option available? And presumably if we amend the past 5 years of 5500's to remove 40% of the plans assets that might be a red flag...

Austin Powers, CPA, QPA, ERPA

Link to comment
Share on other sites

There is always audit risk when a 5500 is amended. The question is whether the assets should be excluded from the 5500 under the applicable regs. If there is an audit then the correct response would be that the amended return was filed to correct a mistake.

I don't know whether there is much interest in auditing 403b plans by the DOL.

The above is my recollection of the application of the regs to 403b plans. You need to look at the 5500 form instructions and applicable regs.

mjb

Link to comment
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
×
×
  • Create New...