pam@bbm Posted March 24, 2021 Posted March 24, 2021 I need to help understanding when to use a short plan year. Employer closed the business 01/31/2021. Plan amendment has been done terminating plan as of 01/31/2021. Is this a short plan year for just the one month, even though we'll be processing withdrawals in the coming months? Do we date the 5500 01/01-01/31/2021 or 01/01-12/31/2021?
C. B. Zeller Posted March 24, 2021 Posted March 24, 2021 The final plan year ends on the date of the final distribution. That is the date you should use on the 5500. The 5500 is due on the last day of the month 7 months after the final distribution. Bill Presson, DMcGovern and Luke Bailey 3 Free advice is worth what you paid for it. Do not rely on the information provided in this post for any purpose, including (but not limited to): tax planning, compliance with ERISA or the IRC, investing or other forms of fortune-telling, bird identification, relationship advice, or spiritual guidance. Corey B. Zeller, MSEA, CPC, QPA, QKA Preferred Pension Planning Corp.corey@pppc.co
Mike Preston Posted March 25, 2021 Posted March 25, 2021 7 hours ago, C. B. Zeller said: The final plan year ends on the date of the final distribution. That is the date you should use on the 5500. The 5500 is due on the last day of the month 7 months after the final distribution. And can be extended 2 and 1/2 months by use of a form 5558.
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