TPApril Posted September 30, 2022 Share Posted September 30, 2022 I understand that for Davis Bacon prevailing wage contributions, they must be deposited quarterly, as opposed to the 401(k) contribution deadlines. I don't think it's included but has anyone ever reported that on the delinquent contribution line of the 5500? I have to figure out what kind of penalties there are for this. Link to comment Share on other sites More sharing options...
Bri Posted September 30, 2022 Share Posted September 30, 2022 I'm peeking at the instructions, and I am deducing that they don't go on 4a, because that is for participant contributions. But 4d looks like the right call, since it's still the same kind of prohibited transaction when the employer is holding onto plan money. And if that's the case, I think you do a 5330 very similarly to one for late deferrals. Link to comment Share on other sites More sharing options...
Peter Gulia Posted September 30, 2022 Share Posted September 30, 2022 While I don’t know your client’s and its plan’s provisions, other facts, and surrounding circumstances: Consider the possibility that an employer’s contribution might be delinquent or past-due for one or more government-contracts purposes, but not necessarily a prohibited transaction under ERISA § 406 or Internal Revenue Code § 4975. Also, if there is a nonexempt prohibited transaction, consider exactly which person must file Form 5330. If the plan’s administrator is not the same person as the employer, consider that the person liable for the excise tax might be the one that must file Form 5330. Luke Bailey 1 Peter Gulia PC Fiduciary Guidance Counsel Philadelphia, Pennsylvania 215-732-1552 Peter@FiduciaryGuidanceCounsel.com Link to comment Share on other sites More sharing options...
Recommended Posts
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 accountSign in
Already have an account? Sign in here.
Sign In Now