Required To File 5500?

[goldtpa]

I have been talking to a school run by a church. They have a 403(b) which, allows for employee deferrals and according to them matches dollar for dollar up to $1500. They have no plan document and have never filed a 5500. They have some sort of summary of the 403(b) which is given to the employees. I have looked at the other posts and I believe that since they have matching contributions, they would be required to file a 5500. Is this correct and since they never filed, is this a matter that is resolved with the DFVC?

Secondly to make matters worse, the $1500 match was not given to everyone. The employees had a choice. The school would contribute the match to the medical plan, Oxford, or they would put the 1500 into the 403(b). For example, an employee who used up the $1500 match in the 403(b) had to pay the Oxford premium out of their own pocket. Hence, an employee who used the $1500 to pay for Oxford did not get a 403(b) match.

Any help would be greatly appreciated.

[WDIK]

I don't know if this applies to your situation, but church plans not electing coverage under Code Section 410(d) are not required to file Form 5500

[goldtpa]

WDIK

Thanks for the input. However, how would I know if they elected to be covered under ERISA. They have no documentation. The only thing that they have is an AXA new account application.

One other thought. If they are not required to file, are they still subject to anti-discrimination testing. It seems very fishy to me to allow, even a church organization, for a 1500 match to be applied to the medical plan or the 403(b) at the employees choice. One would think that you receive a match if you participate in the 403(b), regardless of whether you had medical coverage or not.

[mbozek]

church plans are exempt from non discriminaton requirements. IRC 403(b)(1)(D).