DOL Notice of Rejection of the Form 5500

[bevfair]

Has anyone had a client receive one of these rejection letters, specifically citing the reason as the IQPA failing to perform a sufficient audit? I'm wondering if there is some sort of audit initiative, if this is random or if something on the 5500/audit package triggered the inquiry. Thoughts/Comments?

[Flyboyjohn]

I've heard of these but haven't seen one, can you redact the client identifying information and post a copy for us to see? Much appreciated.

[Bill Presson]

We had it happen here in Alabama. It was a tax client of the CPA firm. The DOL reached out to us and had us go in and perform the audit to replace the prior CPA. The DOL then referred the prior CPA to the AICPA for sanctions.

It was pretty brutal for him and the DOL didn't play around.

[Flyboyjohn]

FWIW it's my understanding that the majority of sanctions imposed on CPAs by the AICPA (and state CPA societies) are for deficient employee benefit plan audits.