SEP IRA wrong registration
The origional Account form sent in said the account was to be an individual account with JTWROS. However, the memo on the check said SEP contribution for 2004. It was ment to be a SEP contribution as was stated on the check and was reported to accountant as a SEP contribution. How can we correct the incorrect registration(at the direct custodian) to the one origionally intended, that being a SEP IRA account/ Registration? Is their a penalty?
Thanks SN
Permalink Submitted by Alan Spross on Wed, 2009-06-17 23:10
Based on the age of this transaction, the likely position of the custodians etc, I do not believe there is any practical way to change the direction of the funds at this time. In addition, any earnings on the funds have been reported and taxed for several years now. If the IRS has not questioned the tax return for 2004 at this point, I would be inclined not to initiate any action whatsoever.