Solo 401(k) with checkbook control reporting

[Bruce M.]

For those of you that have a Solo 401k with checkbook control, does your financial institution that holds the funds perform any reporting? For example, do they issue a 1099? My understanding is that the only reporting is the 5500-EZ and that is created by the 401k trustee/participant

I was told by one institution that they generate a 1099, and another that they generate nothing. What is the reality?

[Dmitriy Fomichenko]

@Bruce M.

if you have a self-directed Solo 401(k) plan where you direct all investments as the trustee of the plan, you will have a checking account associated with the plan. The checking account will be in the name of the Solo 401(k) Trust using it's own EIN. Now, the bank that holds the checking account would not be a custodian, therefore it will not be tracking all deposits and withdrawal on this account. You, as the plan administrator is responsible for all record-keeping and accounting. So the only 1099 that the bank can issue is 1099-INT if your account earned any interest during the year.