February 2, 2023

Self Directed SEP IRA can help IRS Reporting

self directed sepira

The Self Directed SEP IRA

with its checkbook IRA features that allow your account to basically operate like an IRA checkbook is the topic of many conversations this time of year as self employed search for ways to reduce their tax liabilities and increase funds for the future. A self-directed IRA can be a very valuable tool. SEP IRAs or Simplified Employment Pensions Individual Retirement Arrangements (IRA).
Think you know everything about your IRA? Visit our IRA page.

Here’s a good article showing the latest push from the IRA to tighten SEP IRA reporting requirements.
IRS Told To Tackle Pension Plan Contribution Tax Abuse
by Mike Godfrey, Tax-News.com, Washington 02 April 2014

The Treasury Inspector General for Tax Administration (TIGTA) has recently publicly released his report which points out that the United States Internal Revenue Service (IRS) allows millions of dollars in potentially improper self-employed retirement plan deductions each fiscal year.

TIGTA’s report presented the results of its review to determine whether the IRS’s controls and third-party data are adequate to identify improper deductions for contributions made by self-employed taxpayers to their own Simplified Employee Pension’s (SEP) Individual Retirement Arrangement (IRA) accounts.

SEP IRAs are managed by financial institutions (or entities approved by the IRS) serving as third-party trustees. These institutions annually notify employers, employees, and the IRS of contributions made to SEP IRAs. In 2011, total contributions amounted to USD1.7bn for more than 207,000 taxpayers.

– See more at: http://www.tax-news.com/news/IRS_Told_To_Tackle_Pension_Plan_Contribution_Tax_Abuse____64234.html#sthash.wbOo210y.dpuf

What to get the facts on What Self Directed IRA rules impact you? What you can and cannot invest in with a self directed IRA? We have a 5 part mini course that is a great base of information.
No obligation and no sales all needed to get the info emailed to you automatically. https://www.getdrip.com/forms/2268282/submissions/new