Failure to File Form 5500 - Referral Needed

[Guest JasonCollins]

I am currently looking for an attorney to refer a matter to that has experience dealing with the IRS / PWBA regarding a failure to file Form 5500 by a self employed individual for a single-member profit sharing plan.

The individual mailed in the delinquent 5500s and has received back letters from the service stating that he must respond within 30 days to prevent being automatically subject to the administrative penalties described in the intructions to form 5500. It appears from the instructions to the form that the penalties will wipe out his retirement savings.

If you have specific expertise related to this situation and can provide some assistance, let me know.

[Guest b2kates]

Drop me a note. I may be able to assist. you are correct time is urgent.

[four01kman]

Let me know where you are located. I probably can refer someone to you.

Jim Geld four01kman@yahoo.com

[E as in ERISA]

In my experience, the IRS rarely if ever assess penalties for delinquent filings. Most of the time they don't even send an actual penalty notice. The one time that someone did get that notice (because they ignored every single letter that had been sent before), the penalty was abated after a "reasonable cause" letter was sent. (If I recall, that "reasonable cause" was nothing extraordinary -- just confusion relating to changes in personnel). But the IRS may have changed it position...

[Guest kwright]

Just had similar situation. We filed the late returns with a reasonable cause letter and got correspondence assessing $15,000 of penalties. Just resend the reasonable cause letter again. Penalties should be abated (assuming you filed late returns before they were requested). I was told to resend the reasonable cause letter up to 3 times before contacting a problem resolution officer.

[Guest JasonCollins]

The client is located in Denton, Texas, which is in the Dallas/Ft. Worth area.