Delinquent Filer Program

[Guest Scarlet Knight]

The DOL website still indicates paper filings. Is that right? We have a new client that has to enter the program for 2004 -2008 filings and pay their $1,500 multiple year cap.

http://www.dol.gov/ebsa/faqs/faq_DFVC.html

[goldtpa]

No thats not right. The late 5500s must be filed using the EFAST 2 system. You would use the 2009 Form, however you would change the dates at the top of the form to reflect the year you are filing for. The box for DFVC must also be checked.

Then the client has to go to the DOL's late payment calculator and pay the fine thru an ACH payment. DFVC Calc

My question is, which one do you do first? I would hate to find out that the client files thru EFAST 2, then makes an e-payment, and still winds up with a penalty. Or the EFAST system wont accept a late filing until payment has been made first.

I have a call into the DOL. Hopefully they will know.

[Guest Scarlet Knight]

No thats not right. The late 5500s must be filed using the EFAST 2 system. You would use the 2009 Form, however you would change the dates at the top of the form to reflect the year you are filing for. The box for DFVC must also be checked.

Then the client has to go to the DOL's late payment calculator and pay the fine thru an ACH payment. DFVC Calc

My question is, which one do you do first? I would hate to find out that the client files thru EFAST 2, then makes an e-payment, and still winds up with a penalty. Or the EFAST system wont accept a late filing until payment has been made first.

I have a call into the DOL. Hopefully they will know.

Thank you for your input. Please post the results of your conversation with the DOL . BTW - Mine is a PSP plan / 10 lives.

I understand pursuant to my reading of EFAST2 Q4 that the 5500's (and Schedule I's?) have to be "2009" with the plan year entry adjusted for the proper filing period, however any attached Schedule R's and P's (if applicable) should be the correct year schedule that would have been filed right?

As an aside, it would be helpful if they updated their instruction page that I cited. Furthermore, my client had multiple years delinquent. Do we submit all years with one electronic filing and one signature that covers the all of them or a separate filing and signing party for each delinquent year?

[goldtpa]

It is my understanding that the EFAST 2 system only recognizes the 2009 Form. Thus any attachments would also have to be 2009 as well. I called and asked my 5500 software vendor and they said that their system does not have any of the older 5500s available to file. Thus the late 5500s that I have to file all have to be SFs. I am not doing any of the schedules for the one client I have that is late. He missed 04, 06, & 08.

I was told by the 5500 software vendor that each one should be filed seperately. That way I will know which approval corresponds to a specific year. Otherwise I would have three submissions and three approvals, but I would not know which was which.

[goldtpa]

Was referred to the Office Chief Accountant, spoke to a nice lady there.

The nice lady at the OCA. said that you MUST file first and then make your payment through the on-line system.

The nice lady also said that you CAN NOT use the SF you must use the 5500.

However Scarlet was correct. The OCA said that any Schedules like the Sched I or R should be for the correct year the schedule would have been filed. Thus if you have a late 2007 5500, you file the 2009 5500 and the 2007 Sched I. The Sched I has to be scanned and submitted as an attachment.

What a pain in the (insert expletive)

[Guest Scarlet Knight]

Was referred to the Office Chief Accountant, spoke to a nice lady there.

The nice lady at the OCA. said that you MUST file first and then make your payment through the on-line system.

The nice lady also said that you CAN NOT use the SF you must use the 5500.

However Scarlet was correct. The OCA said that any Schedules like the Sched I or R should be for the correct year the schedule would have been filed. Thus if you have a late 2007 5500, you file the 2009 5500 and the 2007 Sched I. The Sched I has to be scanned and submitted as an attachment.

What a pain in the (insert expletive)

In the past when we filed by paper for multiple delinquent years we had to submit them all together in one envelope (ie. the $1,500 payment covered all delinquent year forms in that envelope). Otherwise, I was told in a phone call with the DOL that if you submitted them individually, they would be treated as a separate submissions subject to additional payments to the DOL.

If we now have to electronically submit each year separately, then it appears that the EBSA has changed their procedures. For some reason, I have little faith that they will match all the forms submitted separately (rather than as one attachment) to the $1,500 payment.

You are correct, a real pain in the xxx.

It's going to be some job to get the client to sit at his computer and electronically sign each delinquent form if they have to be submitted separately.

The EBSA really should issue, in writing, detailed / updated DFVCP filing instructions now in light of the changed filing methods especially when multiple delinquent years are involved.