LATE FILING OF 97 - 99 5500 FORMS

[dmb]

I have an owner only that has over $100,000 in his plan and hasn't filed a 5500EZ for 1997,98 and 99. He is planning on filing the 5500s currently but has some questions. Who would assess the penalties for the pre-99 filings?? If it's the DOL, is it too late to go through their VCR program?? For the 1999 filing, what kind of penalties can be expected?? Will it be similar to the IRS or will it be just handed down, no ifs ands or buts??? Any help would be appreciated. Thanks.

[JohnCheek]

I don't think VCR applies. Instead, you should check out the Delinquent Filer Voluntary Compliance program on the DOL/PWBA web site. As I recall, you can resolve prior year nonfiling penalties with a fine that varies by the size of the plan, from $2,000 to $5,000. I do not know whether (or how) it applies to a one person plan.

[Guest Emiliano]

DOL's DFVC program does not apply to 5500EZ's.

[dmb]

Thank you. I found out yesterday that it doesn't apply to owner only plans. Unfortunately we have another potential client in a similar situation with employees.