"I keep getting the CP214 form sent to me to remind me to determine if I need to file Form 5500-EZ. I ignored it because it said we send this form just to remind you if you previously filed a form which I did in 2014.

So today I was curious and I called the IRS. I said, why do I keep getting this form even though I terminated the solo 401k plan? She immediately asked me if I had the 5500-EZ in front of me. I did and everything was filled in correctly EXCEPT the part that said 'total number of participants at the end of the plan year.' I had entered '1'. She said I should have written '0' and that's why I keep getting the form. The assets were already $0 and I wrote Final on the form.. I was told to mail a amendment for 2014. I asked if I have to pay a penalty, said I already had converted the plan to a traditional IRA in 2014, already had issued 1099, and my assets at year-end were $0. He said I should not have to pay a penalty because I filed it on-time but I just incorrectly. I was told to mail the letter with an explanation and a 5500-EZ.

Is the IRS agent correct? Anyone ever encounter this? I read online somewhere I need to pay $1,500 per day penalty or $150,000. I was the only person on this solo 401k plan and I only filed this return (due to it being the final year) once, because my plan never exceeded $250k (not even close to it)."