Which statement is true regarding the jurisdiction of Form 5500?

The statement about the IRS having jurisdiction over qualified plan status is accurate because the IRS is responsible for the enforcement of tax laws related to retirement plans, including ensuring that plans maintain their qualified status under the Internal Revenue Code. This includes reviewing and approving applications for determination letters for qualified plans and overseeing compliance with requirements such as minimum participation, vesting, and contribution limits.

Form 5500 serves as an annual report that includes important data about retirement plans, which must be filed with both the Department of Labor (DOL) and the IRS. While the DOL monitors compliance with the Employee Retirement Income Security Act (ERISA) and oversees reporting requirements, the IRS's role is primarily focused on the tax implications and qualified status of these plans. Therefore, the IRS's jurisdiction extends beyond merely reviewing Form 5500 submissions, as it is tasked with evaluating whether the plans comply with all relevant tax laws and regulations to maintain their qualified status.