POA For Signing 5500

[austin3515]

This has been discussed before but we are getting renewed pressure from some clients to obtain a POA to signt he 5500. According to the 2848 instructions, a POA can only be used to sign a TAX return in a few isolated events, including absence from the country, severe illness, etc.

Can anyone confirm whether or not the DOL has indicated spefically that this standard should also be applied to a 5500 even though it is not a TAX return?

I have to imagine this is coming up all the time these days...

(*By the way, we would never do this for our clients, but we would prefer to be able to come back and say it is not even possible).

[austin3515]

From Sungard's FAQ's on EFAST:

May a filing signer use a Form 2848 (power of attorney) to authorize a TPA to sign a Form 5500 on his/her behalf?

No. The Form 2848 does not provide authority to sign a Form 5500 on paper (for 2008) or electronically (for 2009).

http://www.sungard.com/en/sitecore/content...faq_part15.aspx

Other thoughts still appreciated...

[Guest Daphne]

I'd like to learn more about this topic from a different angle. What if a client's accountant has POA for all matters? Could the accountant sign Form 5500 on behalf of the client? Client is overseas until November and has extremely limited Internet access. (It would have been nice if I had known this 2 weeks ago. )

[austin3515]

In the isntructions for the POA, it lists absence from the country as a valid excuse to have a POA sign. Check out the instrucitons though, which are a pretty good resource.

[12AX7]

Why would a client not want to sign a 5500? I can understand if they don't want to E-File and instead allow their practitioner to have all the fun. I've never had a client request this before.

[Dougsbpc]

We have a number of clients who would want us to complete everything for them including signing the 5500/SF for them if we could.

I am not so sure we couldn't. Unlike most though, we are the plan administrator and are listed as such on the 5500.

[austin3515]

Are you a third-party service provider? It seems unusual that if you were you could be the plan administrator. Are you determining whose eligible for the plan, remitting deposits, approving distributions, etc?

If you're not, it seems hard to imagine that you really are the plan administrator. But we too have clients who want nothing to do with any of this stuff (one in particular comes to mind!!), so if there is a way, please let me know.

[Guest KMB1978]

I has researched this once before, as you ALWAYS get those clients that just don't do what you tell them to, and we wanted to be prepared. Here is what I found...

Q5: If I don’t want to get EFAST2 credentials so that I can personally file my plan’s Form 5500 or Form 5500-SF, is there any way that I can have a service provider complete and electronically file the Form 5500/5500-SF for me?

Yes. Many small business use service providers, such as third party administrators (TPAs), to manage the Form 5500 Series filing process for the plan. EFAST2 was designed so that the plan’s Form 5500 or Form 5500-SF can be completed and submitted by a TPA. Such TPAs typically will buy EFAST2 approved software to prepare and file Form 5500 Series filings for their plan clients. If a TPA typically prepares your Form 5500 or Form 5500-SF, you should verify that the software used by the TPA is properly certified to prepare and submit the filing.

In general, if a service provider manages the filing process for your plan, the service provider personnel can get their own EFAST2 signing credentials and submit the electronic Form 5500 or 5500-SF for the plan using IFILE. We expect software developers will also be making this option available under their software, but you should contact your software vendor for information regarding its software.

Under this e-signature option, the service provider must confirm that it has specific written authorization from the plan administrator to submit the plan’s electronic filing. In addition, the plan administrator must manually sign a paper copy of the completed Form 5500 or 5500-SF and the service provider must attach a PDF copy of the first two pages of the manually signed Form 5500 or 5500-SF as an attachment to the electronic Form 5500/5500-SF submitted to EFAST2. The service provider must communicate to the plan administrator any inquiries received from EFAST2, DOL, IRS or PBGC regarding the filing, and must inform the plan administrator that, by electing to use this option, the image of the plan administrator’s manual signature will be included with the rest of the return/report posted by the Labor Department on the Internet for public disclosure.

The electronic filing regulations and the Form 5500/Form 5500-SF instructions also require that plan administrators must manually sign a paper copy of the completed Form 5500 or Form 5500-SF under penalty of perjury, and keep that manually signed copy of the Form 5500 or Form 5500-SF, with all required schedules and attachments, as part of the plan’s records.

Hope this helps

[austin3515]

My understanding of the POA instructions is that there would still be some basis for siugning a 5500 under a POA (assuing you conclude that the 5500 is a tax filing, which so far has been supported by all of the PTIN discussions!, and assuming the signer is unable to sign b/c of sickness, absence from the country, etc).