Do you need to file Form 5500-EZ?

July 14, 2016

If your business has a one-participant retirement plan such as a solo 401(k) - for example, if you own the entire business and the plan covers only you, or you and your spouse - you may be unaware that you can have tax filing responsibilities. Here are two situations when you may need to file Form 5500-EZ, Annual Return of One-Participant (Owners and Their Spouses) Retirement Plan.

1. When your plan's total assets and the assets of all your other one-participant plans at the end of the plan year are greater than $250,000, you need to file Form 5500-EZ for each of your plans.

2. Form 5500-EZ is required for the final year of your plan, even if the assets were less than $250,000 before you distributed or transferred them. You'll need to meet this filing requirement when you distribute all the plan assets to the participants or transfer all the assets to another plan.

Because the usual due date of July 31 is a Sunday this year, August 1, 2016, is the deadline for filing Form 5500-EZ for retirement plans with a December 31, 2015, year-end. If you have questions about whether you need to file a tax return for your retirement plan, please contact us.

Keywords: form 5500-ez
« Back to Learning Center