pmacduff

DOL letter on 2017 5500 filing

Recommended Posts

Client received an EBSA letter today that the Plan's 2017 5500 form filing was rejected for lack of the Accountant's opinion.  I went on the EBSA website and the filing is there and contains the correct forms and Accountant's report.  The letter tells the cient to file an amended filing including the report and then notify them that the amended filing has been posted. 

Anyone else hear of such a thing?!

(edited for detail)

Edited by pmacduff
grammer!

Share this post


Link to post
Share on other sites

Yes - this letter is normally generated and sent to the plan administrator when data analytics finds a disconnect in the way the questions on Schedule I or Schedule H were answered.

If the plan filed Schedule I, did the plan administrator answer "Yes" or "No" on Schedule I, Line 4k?

If the plan filed Schedule H, take a look at the answers on Line 3.

Share this post


Link to post
Share on other sites

So that's not something EFAST's filters wouldn't have caught upon the filing being submitted?  Or does it fall back to perhaps the 5500 software's vendor in its data-check/validation procedures?

Share this post


Link to post
Share on other sites

The Plan is a Schedule H filer.  We did validate the form through the software vendor prior to filing.  I'm attaching the answers to Schedule H, question 3, and I've redacted the Accountant's name and EIN for privacy purposes.  These questions are answered the same way that they have been for at least 10 years, maybe longer.  The plan has been in effect since 1992.   

 

Schedule H line 3.pdf

Edited by pmacduff
had to rescan attachment

Share this post


Link to post
Share on other sites

This can happen when the Accountants Opinion is not attached as the AccountantOpinion Attachment Type, such as an Other Attachment Type.  Check how the xml file was constructed.  I would call EFAST help desk and ask them about the filing, or contact the author of the DOL letter.

Share this post


Link to post
Share on other sites

Thank you Kristina and everyone for your replies.  We never use the "Other" attachment type for the Accts Opinion.  We have been filing this particular return for the client for a long time. 

We did send an email to the DOL per the information in the letter and will await response.  I tried calling the phone number listed in the letter as well, however that was simply an automated system with direction to leave a voice mail.  I explained to the client they are the "legal" Plan Administrator and I'm fairly certain that the DOL will not correspond with me as TPA.  We shall see. 

I'll keep everyone posted on the outcome.

 

  • Thanks 1

Share this post


Link to post
Share on other sites

ok - so after no word back to my email, the client called and left a voice mail and sent an email (indicated in the letter) along with a copy of the filing acknowledgement.  The guy from the DOL/EBSA called the client back the same day and told him that he had looked at the filing, saw the Accountant's Opinion and was not sure why the rejection letter was issued (!).  He told the client to ignore the letter and that he was closing out the case.

Obviously I'm happy for the client with the outcome but Jeesh!  All's well that ends well I guess!!

Share this post


Link to post
Share on other sites
On 2/7/2019 at 3:22 PM, Bri said:

So that's not something EFAST's filters wouldn't have caught upon the filing being submitted?  Or does it fall back to perhaps the 5500 software's vendor in its data-check/validation procedures?

The EFAST filters aren't very smart.  You can attach a pdf saying there is no report at this time and will amend when you have the opinion.  Their filters will see there is a pdf and assume it is the report.  They will catch on after time and you run the risk of having the filing declared late with the related fines.  But many TPAs do this if there is no opinion on tome.  

Share this post


Link to post
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