WB 5500 Guidance?

[Leopurrd]

Hi All,

I was wondering if anyone has run into this situation and/or can advise the best way to handle regarding the Form 5500 filing:

I have a client with 2 H&W plans (one medical/dental and one for life). They do not have a document that wraps these two plans together, so they are required to file 2 Form 5500's.

For 2003 (initial year), the preparer combined both plans on one 5500 with a wrong pn (503).

both 2003 and 2004 should have/be filed with pn 501 for medical/dental and 502 for life.

I'm thinking an amended 2003 return would alert the IRS and the client would have a late filing for one of the returns.

If we correct going forward, we have a plan that just "appears" - the effective date would not correspond to the first plan year filing, essentially.

How would you correct in this situation - or, what is the favored correction method of the IRS?

Thanks for your help!

Vicki

[BeckyMiller]

An old ERISA person responding here. Realize that for welfare plans, you do not have to worry about IRS penalties. These reports are only required by Title I of ERISA. So, the only penalties are DOL penalties. My experience with the DOL on this kind of issue has been surprisingly pleasant. If the original filing reflected the Schedule A's for each benefit structure, they have received what they are mostly interested in receiving.

I would call Scott Albert at the the DOL Chief Accountant's office and ask him how to proceed. If the correct answer is to file an amended 2003 filing and split it into two filings, I will be very surprised if they penalize the client at all. BUT, they have been surprising me lately, in an unhappy manner, so I would call Scott first. He is a nice guy and actuall takes calls. The number for the Office of the Chief Accountant is found on the EBSA web page at http://www.dol.gov/ebsa/aboutebsa/org_chart.html

[Leopurrd]

Becky,

Thanks for your reply! I'll give Scott a call and let everyone know the outcome.

Vicki