In our continuing series of FAQs on EFAST2, we are addressing the issues and procedures with which 5500 preparers and plan sponsors will need to familiarize themselves to make the transition to electronic filing. Now that EFAST2 is available, preparers need to understand the filing procedures for plans with a 2008 plan year ending after December 31, 2009, as well as amended and late 2008 filings. In this technical update, we address the 2008 plan year filing procedures.

If a plan sponsor has a filing deadline for its 2008 Form 5500 that is after December 31, 2009, is the filing subject to mandatory electronic filing under EFAST2? May the plan sponsor elect to file electronically under EFAST2?

No, with respect to the first question. As to the second question, a preparer may use EFAST2 approved third party software or IFILE to file a 2008 Form 5500. If a preparer uses EFAST2 approved software or IFILE to file for a 2008 plan year, he/she will be using 2009 forms.

What are the filing procedures for a plan with a filing deadline for its 2008 plan year that is after December 31, 2009?

The plan sponsor may file electronically under EFAST (not EFAST2) procedures through June 30, 2010. Alternatively, the plan sponsor may file a paper 2008 Form 5500 with the DOL at its Lawrence, KS address through October 15, 2010.

Example: X corporation maintains a retirement plan with a plan year ending November 30, 2009. The plan’s filing deadline is June 30, 2010 (September 15, 2010 with a 2 ½ month extension). X may file its Form 5500 electronically under EFAST no later than June 30, 2010. Alternatively, it may file a paper Form 5500 with the DOL at its Lawrence, KS address.

If a plan sponsor needs to amend a 2008 Form 5500 after December 31, 2009, what are the filing procedures for the amended Form 5500?

The plan sponsor may file the amended 2008 Form 5500 electronically under EFAST through June 30, 2010, or it may file it on a paper 2008 Form 5500 at the DOL’s Lawrence, KS address through October 15, 2010. After October 15, 2010, the DOL will require the plan sponsor to file the amended return electronically under EFAST2 using the form available at the time of the filing. See DOL’s EFAST2 FAQ 4 .

If a plan sponsor needs to amend a pre-2008 Form 5500 (e.g., 2007) after December 31, 2009, what are the filing procedures for the amended Form 5500?

The plan sponsor must file it electronically under EFAST2 using currently available forms. Note: We confirmed the position on the procedures for amended returns with the DOL.

If a plan sponsor is late in filing its 2008 Form 5500, what are the filing procedures for the late filing?

The plan may file the late 2008 Form 5500 electronically under EFAST through June 30, 2010, or it may file it on a paper 2008 Form 5500 at the DOL’s Lawrence, KS address through October 15, 2010. After October 15, 2010, the DOL will require the plan sponsor to file the late return electronically under EFAST2 using the forms available at the time of filing. Note: The plan sponsor should also avail itself of the DFVC program to avoid DOL and IRS late filing penalties.

When amending a filing under EFAST2, may the plan sponsor submit only the Form or schedule that is amending?

No. Under EFAST2, a plan sponsor must submit the entire filing with all of the schedules and attachments when amending the return. The preparer must check the box for amended return on the Form 5500. Note: The EFAST2 requirement to resubmit the entire filing also will apply to an amended return originally filed under EFAST.

Advanced Pension Conference. We will discuss EFAST2, Schedule C changes and other important and timely topics in our Advanced Pension Conference (APC). The APC is scheduled for February 17-19 in Orlando, Florida.

Sample EFAST2 Credentials Letter. Would you like a sample letter to send to your clients explaining step-by-step how to obtain EFAST2 filing signer credentials? We will provide a sample letter to each person who has registered for our free technical update service by January 25, 2010. If you are already subscribed, you will also get the letter, you do not need to do anything. To register for the technical update service, Create a Relius New User Login. If you are already registered on our web site, log in and select Subscriptions!