PTIN December 31st deadline

[NQS]

It seems to me that it is still not entirely clear if the 5500 forms are tax returns or information forms. Also, there seem to be risks for obtaining or not obtaining a PTIN number for certain employees.

The IRS Page, "New PTIN Requirements for Tax Return Preparers" " requires all paid tax return preparers... apply.. for a PTIN...before preparing any federal tax returns in 2011". Does this mean that if we hold off preparing 5500 forms from January 1st on until the entire situation becomes clearer, there are no penalties or problems for delaying applications for PTIN numbers past December 31st? In this regard, if we continue to complete 5500 forms directly on the Efast site or on our 5500 form software but do not submit them are we considered to be "preparing" 5500 forms?

[david rigby]

IMHO, a 5500 is not a tax return. However, that appears to be shorthand to the IRS, since the entire process focuses on Subtitle A of the IRC. Sections 401, 412, 430, etc are all in Subtitle A.

[Belgarath]

Ignoring the issue of whether 5500's SHOULD be caught up in this foolishness, take a look at IRS Notice 2008-13. I think that will clarify a lot of this for you. And news isn't good...

[david rigby]

Notice 2008-13:

http://www.irs.gov/pub/irs-drop/n-08-13.pdf