Hypothetically

A little twist on this - what if after making the contribution and the tax filing deadline, we discover they under contributed and need to put more money in PS in order to pass all required tests? Can they contribute additional now (2016) for 2015 and deduct in 2016 (this is due to an error), or must this be a non-deductible contribution?

What would you do if you were aware of a TPA who had altered plan documents already signed by sponsor? Changes might be made well after the fact and to various selections on Volume Submitter Adoption Agreements, or corrections to amendments.

Thank you very much for your responses. The ERPA greatly appreciates them.

The practice consists of only owner and ERPA (J. Doe). It is Doe who does all the administrative work, including filing SS-4s, preparing plan documents, reconciling bank accounts, preparing 5500 filings and preparing 1099-Rs. However, the plan was adopted, money rolled into bank account, and all but a few hundred dollars withdrawn before Doe even became an ERPA (i.e. Doe was not ERPA at time most of this occurred, but was ERPA when all reporting would have been due) So what would IRS expect of Doe considering this could jeopardize Doe's employment? What, if anything, would the IRS probably due regarding Doe if it discovered this? Assuming owner agrees, clearly one of the most important steps would be to issue 1099-Rs so that taxes are paid on the money withdrawn. Beyond that, what suggestions on the best way to remedy this?

HYPOTHETICALLY - ERPA is employed by a small TPA firm (only 2 or 3 EEs), and the owner adopts a PS/401(k) plan. No PS or deferrals ever made; he opens checking account and rolls over money from an IRA. Over next year or so, withdraws all the money, closes bank account, and never files 5500-SF or 1099-Rs. Due to function in company, ERPA is fully aware of all of this. 1) Any suggestions on how to rectify this? 2) Any EPCRS program applicable? Any experience with anonymous submission? 3) How might IRS get wind of this? I actually posted this awhile ago but the only response I got was "Good luck". I was hoping for something more constructive.

I heard in a seminar that the DOL is now concentrating efforts and rather than randomly targeting plans for audit, they are going after TPA firms they know have problems and auditing their clients. My question is, what authority, if any, does the DOL have over TPA firms. Should they chose to target a particular TPA firm, how would they be able to find out who its clients are. Can they demand a client list?

Hypothetically - A plan is adopted effective 01/01/12 and never files the report for 2012 (the first year). How does IRS ever catch wind of this?

Hypothetically - you are an ERPA. Your employer starts a PS in 2012 and rolls over some IRA money into the plan then proceeds to withdraw most of it. No ER contributions or salary deferrals were ever made. No 1099-R ever issued and no 5500 report ever filed. Because of your function in the company, you are fully aware of all this, but of course your boss wants you to look the other way. What would you do? Any insight as to how the IRS might catch wind of this and what impact this might have on you?