Generally, the IRS has ten years to collect a delinquent tax under a lien. Section 7403 in part allows the agency to enforce the lien through court action, if necessary. 

 

If it is a 401(k) plan, the employee should receive an enrollment package about 30 days before their plan entry date, which includes a salary reduction agreement, a beneficiary designation form, and an investment-selection form (if the plan designates participant-directed investments). These forms are found in the investment provider's package, along with detailed information on the investment options. When applicable, these forms may be provided by REPTECH.

 

All plans, including those without 401(k) contributions, should have each participant complete a beneficiary designation form to be kept in the employer's permanent records.

 

For plans that allow participation on or shortly after the employee's hire date, this information can be included with the employee's new hire package.

 

All plans should distribute a Summary Plan Description, preferably with the enrollment package, before an employee becomes eligible. Technically, however, ERISA requires an employer to give the SPD to a new participant within 90 days after the eligibility date. In the case of new plans, an employer has 120 after the plan is established to distribute the SPD. For example, even if the plan is executed on December 1 with a retroactive effective date of January 1, the employer has 120 days after the plan execution date to distribute the SPD.

 

If the employer has a Safe Harbor contribution feature as part of the 401(k) plan, the participant should receive a Safe Harbor Notice for the current year. Safe Harbor notices are provided annually by REPTECH.