On September 28, 2017, the IRS released its 2018 work plan, detailing several operational and compliance failures in Sep IRA/Simple IRA, 401(k), 403(b) and Defined Benefit Plans, they intend to target as they review IRS Form 5500 submissions and other data available about these plans.

Particularly, the working plan indicates the IRS will single out retirement plans that have failed to properly value certain assets, including qualified employer securities, real estate, private stock, promissory notes, hard money lending, LLC units, joint ventures, agriculture and maritime rights and more. Do you know if you’re compliant? Because, the IRS has further detailed that they are seeking out these specific failures in properly documenting a retirement plan’s investment into these types of non-traditional assets.

The IRS work plan doesn’t end there. The IRS also cited several 2017 work plan accomplishments it intends to investigate, including retirement plan participants having to provide clarity around events that constituted ‘hardship’ for purposes of taking a hardship withdrawal from a retirement plan (including 401(k) and 403(b) Plans), as well as providing additional guidance for plan participants who have taken out multiple participant loans.

Leading Retirement Solutions (LRS) supports a significant number of retirement plans that hold non-traditional (a.k.a. non-standard assets), and regularly works with retirement plans that have failed to properly value and/or memorialize non-traditional investments by a retirement plan, including a 401(k), SEP IRA or Defined Benefit Plan. Let us know if you have questions or need assistance, we are always here to help. Talk to one of our team experts at (206) 430-5084 or visit our website http://www.leadingretirement.com/.

The full IRS work plan can be found at https://www.irs.gov/pub/irs-tege/tege_fy2018_work_plan.pdf (retirement plan information starts on page 9).

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