May 30, 1991
TO: PENSION MEMBERS NO. 20-91
RE: REPORTING DESERT STORM IRA CONTRIBUTIONS
__________________________________________________________
As we previously informed you, a taxpayer who served in
Operation Desert Storm may make an individual retirement account
contribution for 1990 until the date the taxpayer is required to
file his or her individual income tax return. (See Institute
Memorandum to Pension Members No. 16-91, dated April 16, 1991.)
The Internal Revenue Service recently released instructions
for IRA custodian and trustee reporting of Desert Storm IRA
contributions for 1990 which are made after April 15, 1991. IRS
Notice 91-17 contains several methods for reporting such
contributions.
If the custodian uses 1990 Form 5498, it must be filed by
May 31, 1991. However, IRA contributions made between April 15,
1991 and December 31, 1991 may be reported as corrections on an
amended 1990 Form 5498 filing as long as the filing does not
contain information "not relating to the Desert Storm IRA
contributions."
If the custodian uses a 1991 (or 1992) Form 5498, it must
be coded "DS", the year for which the contribution is made and
the amount of the contribution. The code can be in any empty box
on the form. Magnetic and electronic media filers of Form 5498
may request an automatic waiver from filing Forms 5498 on such
media with respect to Desert Storm contributions by submitting
Form 8508, Request for Waiver From Filing Information Returns on
Magnetic Media. Reports of such contributions may be prepared
manually and filed on paper.
A copy of Notice 91-17 is attached. We will keep you
informed of related developments.
W. Richard Mason
Assistant Counsel - Pension
Attachment