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Posted

100% owner of a business sells 100% of the stock to a new owner in 2010. Who signs the calendar 2009 Form 5500? The form is being filed AFTER the sale and it was a stock deal so the new owner "bought the plan too."

My position is that the new owner signs, because the new owner is the Plan Administrator. Why should some unrelated 3rd party be filing a 5500? But of course the owner's valid point is "how can I sign as plan administrator if I wasn't the owner for that period?"

Of course, if the prior owner refuses to sign, the new owner has no choice but to sign. But if the prior owner is willing to sign, does anyone see a problem?

Austin Powers, CPA, QPA, ERPA

Posted

The sponsor / PA is responsible for the filing, so "new owner"

I'm a retirement actuary. Nothing about my comments is intended or should be construed as investment, tax, legal or accounting advice. Occasionally, but not all the time, it might be reasonable to interpret my comments as actuarial or consulting advice.

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