If you have identified an operational error with your qualified retirement plan (401(k) plan, profit sharing plan, defined benefit plan) and are considering correcting it through the IRS Voluntary Correction Program (VCP), you’ll be glad to know that the IRS has just reduced its fees for VCP submission for most employers. Here’s a chart that shows what the rates were before, compared to what they are under the new rules:
There are other options for correcting failures in qualified plans besides VCP. To determine if VCP is the right program for correcting a failure, contact your administrator at Watkins Ross or your ERISA attorney.
Blog authored by Cheryl Gabriel, CPC.
