Guest br6k Posted October 12, 2014 Posted October 12, 2014 What happens if (intended) employer contribution to SEP IRA account was listed by broker as "Regular Contribution Tax Year 14" (appears to be a mistake on their part)? The account is set up for a sole proprietorship. Previous years contributions were correctly listed as "SEP Employer Contribution". Can I simply indicate this amount as employer contribution on 2014 tax return? Or should I get the brokerage to reclassify it correctly?
Flyboyjohn Posted October 12, 2014 Posted October 12, 2014 Since employer contributions pursuant to a SEP arrangement go directly into "regular" or traditional IRAs this mistake by the broker in classifying the contribution is of no consequence. Fine to get the broker to reclassify but doesn't impact the tax treatment.
Appleby Posted October 20, 2014 Posted October 20, 2014 I would have them make the adjustment. Otherwise, the client may receive a 5498 with incorrect information, which could create complications with the IRS Life and Death Planning for Retirement Benefits by Natalie B. Choatehttps://www.ataxplan.com/life-and-death-planning-for-retirement-benefits/ www.DeniseAppleby.com
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now