This thread has been incredibly educational! As someone new to ROBS structures, I'm realizing there are so many compliance layers beyond just the Schedule G reporting. Between the corporate tax reporting (Schedule G), retirement plan compliance (Form 5500), annual appraisals, and ERISA fiduciary requirements, it seems like ROBS clients need ongoing specialized attention. For practitioners like myself who are just starting to encounter these structures, what would you recommend as the best resources to get up to speed on all these requirements? Are there any CPE courses or publications that specifically cover the intersection of corporate tax, retirement plan, and ERISA compliance for ROBS arrangements? Also, when you're taking on a new ROBS client, what's your typical process for ensuring you've identified all the potential compliance obligations upfront? It seems like there could be significant liability if you miss any of these requirements.

As someone who's dealt with several ROBS structures over the years, I want to emphasize that proper documentation is absolutely critical for Schedule G compliance. Make sure you have clear documentation showing the chain of ownership from the individuals through the retirement plan to the corporation. I always request copies of the plan documents, trust agreements, and any amendments to verify the beneficial ownership structure. Sometimes the original ROBS setup documents don't clearly establish the individuals' control over the plan, which can create ambiguity for Schedule G reporting purposes. Also, don't forget to consider state law implications - some states have additional reporting requirements for corporations with retirement plan ownership that could affect your federal reporting positions. The intersection of federal tax law, ERISA, and state corporate law in ROBS structures can get quite complex, so thorough documentation upfront saves headaches later.

I haven't seen anyone mention this yet, but make sure to check if your wife's employer has any "spousal carve-out" policies. Some companies are now requiring spouses to enroll in their own employer's plan if it's available, rather than allowing them on the company plan. This is becoming more common as employers try to control healthcare costs. They'll typically make an exception if your employer's plan doesn't meet certain minimum standards or if you don't have access to employer coverage, but it's worth checking now rather than being surprised during enrollment. Also, since you're planning this switch for next year and considering filing status changes later, I'd suggest running the numbers on your total household healthcare costs under different scenarios. Sometimes the "better" insurance plan costs more in premiums and out-of-pocket expenses than you'd save from filing separately, depending on your specific tax situation. The good news is that you have time to research all these details before making any commitments. Most employers are pretty transparent about their spousal coverage policies if you ask HR directly.

Based on all the great advice here, I wanted to add one more perspective as someone who works in benefits administration. The key thing that hasn't been emphasized enough is to get everything in writing from your wife's HR department about their spousal coverage policies BEFORE you make any changes. I've seen situations where employees were told one thing verbally about spousal coverage, but the actual plan documents had different requirements or restrictions. Make sure you understand: 1) Any spousal surcharges or carve-out policies, 2) Enrollment timing requirements and qualifying events, 3) Whether they require annual verification of marriage status, and 4) How they handle situations where both spouses have employer coverage available. Also, since you're planning the filing status change 2-3 years out, keep in mind that employer health policies can change significantly from year to year. What's true about her plan now might not be the same when you actually switch filing status. The good news is that the core principle remains the same - tax filing status won't affect your eligibility as a legal spouse. One final tip: consider consulting with a tax professional who specializes in healthcare and tax interactions before making the filing status switch. The interplay between HSAs, premium deductions, and filing separately can be complex enough that it's worth getting professional guidance on your specific situation.

Don't forget to check your state return too! If you're amending federal for a missed 1099-R, you might need to amend state as well, even for non-taxable events. Some states require reporting of all 1099-Rs regardless of taxability.

Great question! Just went through this exact process last month with a missed 1099-R for a Roth conversion. You only need to sign the 1040X form - that's the official amendment document. The revised 1040 is just supporting documentation to show what the corrected return looks like. One tip I wish I'd known earlier: make sure to include a brief explanation letter with your amendment explaining that this was a non-taxable Roth rollover that was simply omitted from the original filing. This helps the IRS processor understand the context and can speed up processing. Also double-check that you're reporting the rollover in the correct section of your 1040 - it should go in the IRA distributions section with the taxable portion marked as $0. The IRS gets confused when the reporting doesn't match their records from the 1099-R. Your amendment should be straightforward since there's no tax impact, but getting all the documentation right upfront will save you potential follow-up letters from the IRS.

One approach that might be worth exploring is a private annuity arrangement, where your mother transfers her shares to you and your sister in exchange for unsecured lifetime payments. This can be particularly effective if she's in good health and expects to live well beyond the actuarial life expectancy. The key advantages are that the transferred shares (and all future appreciation) are immediately removed from her estate, while she receives guaranteed income for life. The payments you make are not deductible, but they're not considered gifts either - they're simply fulfilling the annuity obligation. The payment amount is calculated using IRS actuarial tables based on her age, which often results in payments that are lower than what you might negotiate in a standard installment sale. If she lives longer than the actuarial expectation, you'll pay more than the shares were worth, but if not, you could end up paying less. This strategy works particularly well when combined with life insurance on your mother - the insurance can provide funds to complete any remaining payments to her estate while giving you peace of mind about the arrangement. Just make sure to have a qualified business valuation done to establish fair market value for the shares at the time of transfer.

One consideration that hasn't been mentioned yet is the potential impact of the Tax Cuts and Jobs Act provisions that are set to expire after 2025. The current doubled estate and gift tax exemption ($12.92 million per person in 2023) is scheduled to sunset, which could significantly affect some of the advanced planning strategies discussed here. If your mother has substantial other assets beyond the S Corp shares, it might make sense to accelerate some gifting strategies before the exemption potentially drops back to around $6 million per person. This could influence whether you pursue approaches like the family limited partnership or IDGT strategies that rely on gift tax exemptions. Also, have you considered the impact of your state's tax laws? Some states have no capital gains tax, while others impose significant additional taxes on the sale of business interests. If your mother is considering relocating for retirement, the timing of the share transfer relative to any move could affect the overall tax efficiency. The key is to coordinate the business succession planning with broader estate and income tax planning to optimize the outcome for your entire family situation, not just the business transfer itself.

This is exactly the kind of update we all love to see! That 571 code is such a game changer after being stuck with an 810 freeze for 6+ months. I've been lurking in this community for a while watching everyone's journeys, and your timeline gives me hope for my own situation. What really stands out to me is how quickly your 570 and 571 codes appeared - just one week apart! That suggests once the IRS actually got to reviewing your case, they were able to resolve whatever was flagging it pretty efficiently. From all the stories I've read here, that's usually a really good sign for getting your refund processed soon. The consensus seems to be 1-2 weeks after the 571 for the 846 code to appear, especially with your cycle ending in 05. Definitely keep checking Friday mornings when those weekly transcripts update! After waiting since March, you're finally in the home stretch. Thanks for sharing your detailed timeline - it really helps those of us still waiting to know what to look for. Please keep us updated when you see that 846 code! 🤞

Hey Yara! This is such encouraging news after your incredibly long wait! I've been following similar cases in this community and that 571 code is exactly what you want to see after being stuck with an 810 freeze since March. What really stands out about your situation is how quickly things moved once the IRS actually got to your case - going from 570 to 571 in just one week is actually a really positive sign. It suggests they were able to resolve whatever was flagging your return pretty efficiently once they started the review process. Based on what I've seen from others who've shared their timelines here, you're typically looking at 1-2 weeks after the 571 code appears before you see the 846 (refund issued) code. Since yours posted on 09/30 and your cycle ends in 05, definitely keep checking Friday mornings when those weekly transcripts usually update. After waiting 6+ months, you're finally in the home stretch! The hardest part is behind you now. Really hoping you see that 846 code and DDD soon. Please keep us posted - this whole community will be celebrating with you when that refund finally hits your account! 🙌