VCP Corrections - Do Amended 5500s Need to be Filed?

[Guest dyoder]

My client did a VCP filing because forfeitures had not been allocated since the plan year ending in 1998. They received approval to proceed with their correction method. 5500s were filed each year in a timely manner. However, when the forfeitures were allocated, the number of active participants receiving allocations is different from the number shown on the 5500s. Do they need to go back and amend all of their 5500s?

[JanetM]

Instructions for the 5500 say you should file an amended return if any data on the form and schedules is incorrect. Since they went through VCP I would think that would be part of the correction. I could be wrong.

Can't be that much work to amend - you aren't changing but a couple items on the forms. Send a letter sent along with the amended returns explaining why you are doing it.

[Nate X]

The statute of limitations for Form 5500 is 3 years from the date the return was due. I wouldn't bother amending further back than that.