Year-End Deadlines for 2016

[52626]

December 31, 2016 falls on a Saturday., Will Plan Sponsors have until January 3, 2017 to process corrective distributions for 2016, correct 2015 failed ADP/ACP with a QNEC, Amend for Safe Harbor, Amend for Discretionary Changes implemented during 2015? Or is the IRS' position, the deadline is the day in which if falls 12/31/2016 and NOT the next business day.

Thanks

[rcline46]

Do a search on 'next business day'. there are many threads on this topic.

[BG5150]

Someone's getting anxious!

[ESOP Guy]

I am not trying to be mean here but I get a chuckle out of this kind of question. You will have until 12/30/2016 to get the money out but might not be able to do so but the New Year's Eve weekend is when the big push will happen to get it done????

[52626]

^{I have a client who is putting together their compliance book for 2016. There has been a turnover in HR and he wanted to clearly define all the important dates. for the HR Administrator and Plan Administrator.}

^{That was the reason for my question. The client wanted to detail all crucial dates so everyone involved in the plan understands the important due dates. He wanted to be sure if 12/31 was the deadline, they would take steps to be sure everything was done by 12/31. If they had until January 2, he wanted to know that.}

^{The push to get done is because if the correction for the failed ADP Test is 12/31 ( no extension to the date) and it is not done, then the employer has a qualification issue. I did not want the client to assume he had until the next business day to correct the failed test. Just trying to be proactive. Sorry the question made you chuckle......}

[Tom Poje]

Interesting question from the standpoint the 5500s for that year can get a 3 1/2 month extension instead of 2 1/2

http://blogs.haynesboone.com/index.php/2015/08/firm/benefits/recent-legislation-extends-form-5500-filing-deadline-for-tax-years-beginning-in-2016/

Recent Legislation Extends Form 5500 Filing Deadline for Tax Years Beginning in 2016

Posted on August 13, 2015 by Haynes and Boone Benefits Group in Practical Benefits Lawyer

The recently enacted Surface Transportation and Veterans Health Care Choice Improvement Act of 2015 (the “Act“) extends the filing deadline for certain Form 5500 filers for plan years beginning after December 31, 2015. Specifically, for plan sponsors who have obtained an extension to file the Form 5500, the Act increases the extension from 2½ months to 3½ months from the initial deadline. Accordingly, for 2016, a plan sponsor’s deadline for filing the Form 5500 for a calendar year plan, assuming the plan sponsor obtained an extension, would be November 15, 2017 (rather than October 15, 2017). At this point, it is unclear whether a similar extension will apply to direct filing entities, such as master trusts, and to the deadline for filing the Form 8955-SSA. However, the extension has the effect of extending the deadline by which Summary Annual Reports (“SARs“) must be provided, since SARs must be provided within two months of the extended deadline for filing the Form 5500.

[BG5150]

Here's a tip: tell your clients the deadlines are really a week or two BEFORE the actual dates. This way, you build in a cushion.

{note: I have not done this yet, as the idea just came to me, so I don't have any feedback on any fallout)

[My 2 cents]

Here's a tip: tell your clients the deadlines are really a week or two BEFORE the actual dates. This way, you build in a cushion.

{note: I have not done this yet, as the idea just came to me, so I don't have any feedback on any fallout)

"What! You tricked me into getting everything done before the actual deadline? How dare you!"

[austin3515]

I am seriously debating not telling my clients they have an extra month for their 5500... I take 2 vacations a year, one after 7/31 and one after 10/15. To be out a few days after 11/15 seems silly due to Thanksgiving, and there's SH notices, and fee disclosures, and 9/30 ADP Tests...