Jul 31, 2014

ERISA Client Alert: New Requirements for Delinquent Retirement Plan Form 5500 Filers

Many plan administrators have been filing their delinquent Form 5500s over the electronic EFAST2 system, but failing to submit the paper Form 8955-SSA to the Internal Revenue Service (“IRS”).  Prior to the EFAST2 system, the information provided on Form 8955-SSA was attached as Schedule SSA to the Form 5500.

The IRS Form 8955-SSA (Annual Registration Statement Identifying Separated Participants with Deferred Vested Benefits) is used to report participants who have separated from service and have deferred vested plan benefits remaining in a plan following termination of employment.  The IRS reports this information to the Social Security Administration, which uses the information to notify Social Security applicants of deferred vested benefits for which they might be eligible from a prior retirement plan in which they participated.

The IRS recently issued Notice 2014-35, which provides that Form 5500s filed under the Department of Labor’s Delinquent Filer Voluntary Compliance (“DFVC”) program since January 1, 2010 can file a late Form 8955-SSA without a penalty.  Therefore, if an employer has failed to submit its paper Form 8955-SSA as required, now is the time to send it in.  Specifically, any Form 5500 that was electronically filed under the DFVC from January 1, 2010 through November 1, 2014 that is required to file the Form 8955-SSA, must file it no later than December 1, 2014.

For a copy of Notice 2014-35 click here.

For more information on the filing requirements of Form 8955-SSA or to determine whether a Form 8955-SSA is required for previous Form 5500s filed through the DFVC, contact your SGR Executive Compensation and Employee Benefits Counsel at Smith, Gambrell & Russell

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