Form 8928

[jlea]

Anyone have practical experience regarding filing Form 8928 and specifically, for instance:

-- whether the IRS challenged the filing's characterizations (i.e., failure due to reasonable cause and not willful neglect, etc.)

-- whether the filing of Form 8928 triggered an audit

[NKOTB]

I'm wondering the same thing - have you had any responses? If an employer believes that it has reasonable cause to avoid the penalty, should it try to file a $0 return, or is this likely to actually cause an audit?

[jlea]

Sorry -- there were no responses other than yours, but I would still really appreciate anyone sharing their experience with these filings.

[GBurns]

Form 8928 is much too new to have caused any audits. Are you sure that this employer is not exempt for 2014 and 2015?

IMHO, if an employer, who is not exempt, believes that it has reasonabe cause, it should file a $0 return. I do not think that it is likely to cause an audit but not filing should. If a $0 return is filed and the IRS has questions, it will ask for further information etc. An audit would not be an initial step, it never is.

[Guest geekofgeeks]

The duty to self-report on Form 8928 has been in place since 2010, and COBRA and HIPAA errors (maybe also HSA?) can be reported on it. So it pre-exists ACA errors. However, I don't know of anyone who has ever actually filed one on behalf of a client. It would be great to hear about what the review process is like.

[GBurns]

While you are correct that Form 8928 has been in place since 2010, it was effective for plan years beginning on or after January 01, 2010 which would make the first reporting year be 2011 which is why I think that it is too new to have caused any audits.

I noticed that Part IV Tax Due or Overpayment Line 41 makes no provision for an exactly $0 Tax Due return;

41. Tax due. Subtract line 40 from line 39. If less than zero, enter -0-, and go to line 42. If the result

is greater than zero, enter here and attach a check or money order payable to “United States Treasury.
Write your name, identifying number, plan number, and “Form 8928” on your payment