IRS Government Form 5330 Questions


Certain employers are required to file form 5330 with the Internal Revenue Service when they contribute to employee benefit plans. Form 5330 determines if employers owe taxes based on providing excess fringe benefits, nondeductible contributions to qualified plans or when there is a failure to pay a liquidity shortfall.

When Is Form 5330 Due?

  • For most companies, form 5330 is due the last day of the seventh month following the end of the employer's tax year. If the taxes due on form 5330 are a result of prohibited tax shelter transactions, the form is due the 15th day of the fifth month following the end of the entity's tax year. If the tax is related to excess contributions made to certain plans, the form is due the last day of the 15th month, following the end of the employer's tax year. If the tax is related to a reversion of qualified plan assets to the employer or failure to provide notice of significant reductions in future accruals, the form is due the last day of the month following the month of the event.

What Happens If Form 5330 Is Filed Late?

  • If the company will not be able to file form 5330 by the due date, they should file for an extension. If the company does not file for an extension and files the form late or if the company files for the extension and files the form past the extended due date, the company will incur a penalty for late filing of the return. The penalty equals 5 percent of the unpaid tax each month up to 25 percent. Taxes that are paid late incur a penalty of .5 percent (a half of 1 percent) of the unpaid tax each month up to 25 percent. The IRS starts charging interest on the tax owed beginning the original due date even if an extension is filed.

How Can a Mistake on the Original Form 5330 Be Fixed?

  • If the original form 5330 was filed but done incorrectly, the company can file an amended form 5330. If the company overpaid the taxes on the original form 5330 and would like to receive a credit or refund, the company must include a detailed explanation and supporting evidence. If additional taxes are due, the additional information is not required.

Related Searches


Promoted By Zergnet



You May Also Like

  • What Is IRS Form 1096?

    Although non-profit organizations do not have to pay income taxes, they do have to send forms to the IRS for informational purposes....

  • How to Prepare and File IRS Form 5558

    When you are a business owner, there are never enough hours in the day, it seems, especially when it comes to filling...

  • How to File a Business 941 Form

    IRS Form 941 is used to report an employer's quarterly taxes. If you are an employer and withhold federal, Medicare and social...

  • How to Prepare and Fill a PMP Application Form

    The Project Management Institute offers the Project Management Professional credential. According to the PMI website, the PMP certification represents the most important...

  • How to Complete IRS Form 966

    Only corporations file IRS Form 966. It is used when corporations liquidate stock or are intending on dissolving. The form must be...

  • How to Correct an IRS Form 941

    Employers use IRS Form 941 to report employee wages, tips, Social Security, Medicare and withholding taxes. The form is due quarterly, every...

  • Instructions for IRS Form 1065 K 1

    A limited partnership is a type of business entity that allows for passive investment by its limited partners. Typically, a partnership is...

Related Searches

Check It Out

Are You Really Getting A Deal From Discount Stores?

Is DIY in your DNA? Become part of our maker community.
Submit Your Work!