Employee Plans Compliance Unit (EPCU) - Current Projects - 5500 EZ Non-Filer Project

 

Why did I receive a compliance check letter?

The Compliance units contact a sample of one-participant sponsors that have not filed a Form 5500-EZ and had not filed a final return.

Background

Annual filing requirements apply to employers who have one-participant plans when the assets of all plans of the same sponsor exceed $250,000 or when the plans terminate, regardless of the amount of assets. Terminated one participant plans must file Form 5500-EZ (or alternatively, Form 5500-SF, if qualified to do so) until termination is complete and all assets have been distributed.

What is the Compliance units attempting to determine?

Our primary goal is to ensure compliance with filing requirements. We also want to make sure plans that terminated are properly identified in our records.

What actions do I need to take?

Please provide a response to the information request by the response due date. If you believe you have complied with the filing requirements, please provide an explanation. You may also furnish any other documents or clarifying material that you believe will be helpful for us to review. Please make every effort to make your responses as complete and accurate as possible.

Failure to provide the information requested could result in further action or an audit of your return.

Delinquent filer program

For penalty relief, consider the IRS Penalty Relief Program for Form 5500-EZ Late Filers. The program provides automatic relief from IRS late filing penalties on past due Form 5500EZ filings for a fee. 

If You Have Questions

Please feel free to contact the person listed in the cover letter with questions about this project and how it relates to your situation.

Additional resources