Oops, forgot to file for extension for 5500

[Dave Baker]

The cobbler's children have no shoes.

I forgot to file for an extension of time to file the 5500 for my calendar year S corp company's calendar year profit-sharing plan. Now it's August 1.

I guess I'd better hunker down and do the 5500 today or as soon as I can-- there's no way to get an extension now, is there?

My accountant obtained an extension of time for the company to file its corporate income tax return (until September 15), but yours truly signed and mailed the thing into the IRS just last week.

[WDIK]

For some reason, filing all of the necessary extensions by July 31st seems more stressful to me than meeting the October 15th deadline. I guess I'm paranoid that a new client or a takeover plan isn't in the system.

Thank goodness for the new delinquent filers program and the reduced penalties!

[R. Butler]

Did you get an extension on corp. tax return until 09/15 and then actually filed the return before 09/15? If thats the case I don't see that you have a problem. See the Instructions to 5558.

[Dave Baker]

Shazam -- the Form 5558's instructions say:

Use Form 5558 to apply for a one-time

extension of time to file Form 5500, Form

5500-EZ, or Form 5330. The following exception

does NOT apply to Form 5330.

Exception: Form 5500 and Form 5500-EZ filers

are automatically granted extensions of time to

file until the extended due date of the Federal

income tax return of the employer (and are not

required to file Form 5558) if all the following

conditions are met: (1) the plan year and the

employer’s tax year are the same; (2) the

employer has been granted an extension of time

to file its Federal income tax return to a date

later than the normal due date for filing the Form

5500 or Form 5500-EZ; and (3) a photocopy of

the IRS extension of time to file the Federal

income tax return is attached to the Form 5500

or Form 5500-EZ. An extension granted under

this exception CANNOT be extended further by

filing a Form 5558 after the normal due date of

the Form 5500 or Form 5500-EZ.

It doesn't say the plan sponsor is hosed if the federal income tax return already has been filed after the normal due date but before the extended due date ... I suppose the attachment of the copy of the IRS extension of time to file the federal income tax return will be enough to get the 5500 onto the next person's desk without flagging it as a late return.

[maverick]

Dave, I believe you're right. I know the due date for paying in an employer contribution works that way (calendar year plan contrib due date extended from 3/15 to 9/15 if the business extends its corporate return, even if the corporate return is filed prior to 9/15). Not that what I just said has any bearing on your situation, just thought I'd mention it. I have a few clients who do this every year.