VERY late top heavy contribution

[Guest rachd]

I have an employer who is being stubborn and does not want to make their 2001 Top Heavy contribution. However, when I filed their 2001 5500, I reported this contribution as being made since I was under the assumption they wre going to make it.

It's now 2003 and I am pushing them to make it... and really hoping they will but am at a loss on how/where it should be reported when they do.

Do I amend the 2001 5500 to show the contribution was not made?

When should the contribution be reported on their tax return?

Thanks,

Rachel

[Guest b2kates]

Rachel,

if it was not made, do you show it as a receivable? If not, how can you complete the return?

[Guest rachd]

The contribution was reported on the 2001 5500 Schedule I as an Employer contribution (received or receivable).

Does the company amend their 2001 tax return so that the deductions match the 5500.... even if the contribution was made in 2003? (At this point, I'm pretty sure they never reported it as a deduction in 2001 since they never intended to make it) Or does that not matter? I thought the IRS and DOL were in cohoots to review employer's tax returns with the 5500's to make sure contributions/deductions are matching. I could be wrong.

I have the contribution now and am in the process of setting up the accounts and getting it deposited... so it has been made. The question now is just when/where it should be reported.

Rachel