Subject:

HB-PC - Annual Reporting Requirement

The Internal Revenue Code requires that administrators of cafeteria plans file an annual information return on the Form 5500 - Annual Return/Report of Employee Benefit Plan - with an attached Schedule F - Fringe Benefit Plan Annual Information Return. To fulfill our Form 5500 reporting responsibilities as the administrator of Health Benefits Premium Conversion (HB-PC), we will need input from all agencies of the Executive Branch of the Federal government that have participating employees.

Our Form 5500 submission to the IRS for tax year 2001 will be based on the information that Executive Branch agencies provide to us on the attached Input for Form 5500. If an agency has adopted HB-PC for the benefit of its employees, but is not part of the Executive Branch, it will not submit an Input for Form 5500 to OPM, but must file its own Form 5500 directly with the IRS.

As the tax year 2001 Form 5500 for HB-PC must be submitted to the IRS by July 31, 2002, we will need Executive Branch agencies to complete the Input for Form 5500 and fax it back to us no later than June 1, 2002; our fax number is 202-606-7944. If an agency performs payroll cross-servicing functions, it must include on its Input for Form 5500 information for its own agency as well as for all client Executive Branch agencies. Likewise, if an agency's payroll functions are cross-serviced, it will not submit an Input for Form 5500 to OPM.

If you have any questions about the matters discussed in this letter, we would prefer that you email them to us at finance@opm.gov, so that we may retain a record of them. You may also call us on (202) 606-0606.

Robert A. Yuran, Chief Financial Policy Staff

Attachment -

Download Attachment as PDF File:

_____________________

Download Letter and Attachment as PDF File: