IRS Examinations of 401(k) Plans

Valuable Information on 401ks, Pensions, ESOPs, Form 5500 Preparation + More

Every American knows the instant anxiety associated with receiving a letter from the Internal Revenue Service (“IRS”). That anxiety might be overwhelming if the letter is a notification that your company’s employee benefit plan has been chosen for examination. The IRS understands this and has provided an online resource guide specifically geared to educating employers on the process of examinations of benefit plans.

The process is simple. After your initial contact with the IRS and their document and record request, the agent will set an appointment for an on-site audit of the plan. Once on-site work is completed, any additional information needed will be mailed to the agent. If the agent determines there are issues to address, they will go over options with you. You are free to involve your attorney at any point in the process if you feel that it is necessary.

Click on this link to access the IRS EP Examination Process Guide. The guide will answer almost any question that you have regarding the audit process.

By Rex Platt, CPA