Changes to Form 5500.

• Author: Nevius, Alistair M.
• Position: FROM THE IRS

The IRS, the Department of Labor (DOL), and the Pension Benefit Guaranty Corporation have jointly released the 2007 Form 5500, Annual Return/Report of Employee Benefit Plan, and its related instructions. Some significant changes have been made to Form 5500 for plan year 2007.

A new simplified reporting option (required by the Pension Protection Act of 2006, RL. 109-280) has been introduced for eligible plans with fewer than 25 participants. The simplified return/report consists of Form 5500; Schedules A, Insurance Information, B, Actuarial Information, I, Financial Information--Small Plan, and SSA, Annual Registration Statement Identifying Separated Participants with Deferred Vested Benefits; and the identifying information and Part II of Schedule R, Retirement Plan Information.

The Schedule B instructions have been revised to reflect the updated mortality tables in Regs. Sec. 1.412(1)(7)-1 and the list of codes used for valuation purposes. The mortality tables are used under Sec. 412(1)(7)(C)(ii) to determine current liability for participants and beneficiaries (other than disabled participants) for plan years beginning after January 1, 2007.

Because separate actuarial information schedules were developed for 2008 plan year filings, plans will no...