2009 Instructions For Schedule C (Form 5500) Service Provider Information Page 4
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4Part II — Service Providers Who Fail or Refuse To Provide
Element (c). Enter any relationship of the person identified in
element (a) to the plan sponsor, to the participating employer or
Information
employee organization, or to any person known to be a
Line 4. Provide the requested information for each plan
party-in-interest, for example, employee of employer,
fiduciary or service provider who you believe failed or refused to
vice-president of employer, union officer, affiliate of plan
provide any of the information necessary to complete Part I of
recordkeeper, etc.
this schedule.
Element (d). Enter the total amount of compensation received
Important Reminder. Before identifying a fiduciary or service
directly from the plan for services rendered to the plan during
provider as a person who failed or refused to provide
the plan year. If a service provider charges the plan a fee or
information, you should contact the fiduciary or service provider
commission, but agrees to offset the fee or commission with
to request the necessary information and tell them that you will
any revenue received from a party other than the plan or plan
list them on the Schedule C as a fiduciary or service provider
sponsor, for example, as part of a commission recapture or
other offset arrangement, only the amount paid directly by the
who failed or refused to provide information if they do not
plan after any revenue sharing offset should be entered in
provide the necessary information.
element (d).
Part III - Termination Information on Accountants and
Note. Do not leave element (d) blank. If no direct
Enrolled Actuaries
compensation was received, enter “0”.
Complete Part III if there was a termination in the appointment
of an accountant or enrolled actuary during the 2009 plan year.
Element (e). Check “Yes” if the person identified in element
(a), or any related person, received during the plan year indirect
This information must be provided on the Form 5500 for the
compensation in connection with the person’s position with the
plan year during which the termination occurred. For example, if
plan or services provided to the plan. (See instructions above
an accountant was terminated in the 2009 plan year after
on definition of indirect compensation.) If the answer is “No,”
completing work on an audit for the 2007 plan year, the
skip elements (f) through (h) for the person identified in element
termination should be reported on the Schedule C filed with the
(a).
2009 plan year Form 5500. If the accountant is a firm (such as
a corporation, partnership, etc.), report when the service
Element (f). Check “Yes” if any of the indirect compensation
provider (not an individual within the firm) was terminated. An
was eligible indirect compensation for which the plan received
enrolled actuary is by definition an individual and not a firm, and
the necessary disclosures. See instructions for line 1 for
you must report when the individual is terminated.
definition of eligible indirect compensation. Check “No” if none
of the indirect compensation was eligible indirect compensation.
Provide an explanation of the reasons for the termination of
Element (g). Enter the total of all indirect compensation that is
an accountant or enrolled actuary. Include a description of any
not eligible indirect compensation for which the plan received
material disputes or matters of disagreement concerning the
the necessary disclosure. Do not leave blank. If none, enter “0”.
termination, even if resolved prior to the termination. If an
individual is listed, and the individual does not have an EIN, the
Element (h). Check “Yes” if the service provider, instead of an
EIN to be entered should be the EIN of the individual’s
amount or an estimated amount, gave the plan a formula or
employer.
other description of the method used to determine some or all
of the indirect compensation received.
Do not use a social security number in lieu of an EIN. The
Line 3. For each person identified in line 2 who is a fiduciary to
Schedule C and its attachments are open to public inspection,
the plan or provides one or more of the following services to the
and the contents are public information and are subject to
plan – contract administrator, consulting, investment advisory
publication on the Internet. Because of privacy concerns, the
(plan or participants), investment management, securities
inclusion of a social security number on this Schedule C or any
brokerage, or recordkeeping – enter the requested information
of its attachments may result in the rejection of the filing.
for each source from whom the person received indirect
compensation if (1) the amount of the compensation was
The plan administrator must also provide the terminated
$1,000 or more, or (2) the plan was given a formula or other
accountant or enrolled actuary with a copy of the explanation
description of the method used to determine the indirect
for the termination provided in Part III of the Schedule C, along
compensation rather than an amount or estimated amount of
with a completed copy of the notice below.
the indirect compensation.
Notice to Terminated Accountant
or Enrolled Actuary
I, as plan administrator, verify that the explanation that is reproduced below or attached to this notice is the explanation
concerning your termination reported on the Schedule C (Form 5500) attached to the 2009 Form 5500, Annual Return/
Report of Employee Benefit Plan, for the
(enter name of plan). This Form
5500 is identified in line 2b by the nine-digit EIN
-
(enter sponsor’s EIN), and in line 1b by the
three-digit PN
(enter plan number).
You have the opportunity to comment to the Department of Labor concerning any aspect of this explanation.
Comments should include the name, EIN, and PN of the plan and be submitted to: Office of Enforcement, Employee
Benefits Security Administration, U.S. Department of Labor, 200 Constitution Avenue, N.W., Washington, DC 20210.
Signed
Dated
-25-
Instructions for Schedule C (Form 5500)
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