NewHope Posted Thursday at 03:04 PM Posted Thursday at 03:04 PM I've filed the 5500-EZ for my Solo401k for tax years 2021 (once it hit $250k) through 2025. I just noticed that the effective original date is 1/1/18, but I've been putting 1/1/19 on all the 5500-EZ forms from 2021 to 2025. Now, I'm considering opening up a Mega Backdoor Roth, and MySolo401k.net has to restate the Solo401k plan and needs the original effective date (I called E-Trade to ask and that's how I noticed the discrepancy). I've read horror stories on here about people amending their 5500-EZ forms that have been filed on time/yearly and being slapped (it seems automatically?) with late penalties of $150,000 per year, such as here: 1. What do I do? Let sleeping dogs lie and continue putting the 1/1/19 date on the yearly 5500-EZ forms moving forward? If I put 1/1/18 on the 5500-EZ form for next year, will that trigger some kind of alert on the IRS' end with the associated $150,000 yearly penalties? 2. Do I need to amend every 5500-EZ from 2021 through 2025? 3. Does the plan restatement by Solo401k.net get sent to the IRS in any way or just to E-trade? Appreciate tips/advice! Thanks!
fmsinc Posted 19 hours ago Posted 19 hours ago See https://www.dol.gov/sites/dolgov/files/ebsa/employers-and-advisers/plan-administration-and-compliance/reporting-and-filing/form-5500/2023-instructions.pdf and https://wrangle5500.com/form-5500-errors-dol-audit/ The penalty for a typo of the type (pun intended) with which you are dealing is ..... https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcSvGdNyaLvTt4L4Un7XBc-Hd1WusD0wyeMXNUWiJfPjPQ&s=10
NewHope Posted 18 hours ago Author Posted 18 hours ago 1 hour ago, fmsinc said: See https://www.dol.gov/sites/dolgov/files/ebsa/employers-and-advisers/plan-administration-and-compliance/reporting-and-filing/form-5500/2023-instructions.pdf and https://wrangle5500.com/form-5500-errors-dol-audit/ The penalty for a typo of the type (pun intended) with which you are dealing is ..... https://encrypted-tbn0.gstatic.com/images?q=tbn:ANd9GcSvGdNyaLvTt4L4Un7XBc-Hd1WusD0wyeMXNUWiJfPjPQ&s=10 Haha! I'm guessing there's nothing to do then? I'll just update the effective date on next year's 5500-ez.
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