Form 8621 Information Return by a Shareholder of a Passive Foreign Investment Company or Qualified Electing Fund applies to stock ownership in a Qualifying Insurance Corporation or a Passive Investment Corporation (PFIC). It is governed by IRS code section 7701(a)(37) that does make reference to an exemption from filing if the shareholder is the owner of an individual retirement account that holds the investment, as defined under IRS code section 408(a). However, that only seems to apply to ownership in a PFIC, not a Qualifying Insurance Corporation. I'm not sure which investment you are dealing with, but that may be why your investment advisor says you are not required to file it.
It is a very technical part of tax law, and as such is surely beyond the skill level of most tax experts. So I must defer to the expertise of the professionals at TurboTax that write the program on this subject. Without knowing what information you entered into TurboTax to generate the form, I cannot comment more on it. However, one thing is clear and that is if you don't file the form and the IRS takes exception to that, your TurboTax accuracy guarantee would be void as it pertains to the matter.
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