Hi- I have another question about defaulted loans. We have a plan which had a loan that defaulted. The 1099R was never issued since the trustee did not wish to have one issued. It has been a couple of years now. How long can we keep advising him about the loan in default & that a 1099R needs to be issued before there is a problem? Is there a program we can refer him to to take care of this issue?

I think this is a serious problem. This Plan is now out of compliance. This is going to seem cold but I would either file under EPCRS or resign as TPA.

By the way, now that I have been doing this for a while. I would have refused to not send the 1099 or I would have resigned that year. My experience with people who don't care about the rules (as in the LAWS) tend to be bad news in other ways, too. FWIW