My client never filed for 2008!

[Guest IluvNewComp]

Do we have to go through DFVCP and pay the $750?

Can we file with a mea culpa and ask for an abatement of the fee? (The forms were signed on time, but the secretary was out that day and the outgoing mail got all screwed up?

And, if the $750 has to be paid, can they set up a payment plan with the IRS, like, maybe 3 payments of $250 or $100/month?

[Guest Sieve]

You can try a mea culpa--which works especially well when there is a history of previous timely filing.

On the other hand, the delinquent filer program requires that the check be sent with the delinquent filing in order for the deliquent filing to be complete. Since it's a 2008 filing, I might just wait until the client can get the full $750 together before using DFVCP. Are you outside of the first 75 days (since the penalty is $10/day or $750, whichever is less)?

[Guest IluvNewComp]

We are outside the 75 days (it was due 7/31).

So, can we send in the forms with an "oops" letter?

What if the DOL doesn't like our excuse? Will the penalties apply ($10/day, no limit), or could we still try DFVC?

[Guest Sieve]

I wouldn't send an oops letter to the DOL, because then they're likely to send you Notice that the 5500 is late and you'd not be able to use DFVCP. My oops letter follows receipt of an IRS notice of delinquency, when DFVCP is still available (since the DOL has not already sent a Notice at that time).

Rarely does a DOL notice precede the IRS notice. So, I'd wait until receiving the IRS notice--and, if the client can come up with $750 before then, that's when I'd file with the DOL under DFVCP.