What this notice is about We charged a penalty on your Form 5500-EZ because your return was late or incomplete. What you need to do Pay the penalty amount by the due date on the notice. Provide any missing information requested on your notice. You may want to You can send a signed statement and request removal of the penalty, if you have an acceptable reason why your return was late or incomplete. You can complete Form 843 PDF and submit it with your signed statement requesting removal of the penalty and a refund of the penalty previously paid, if you previously paid the penalty and feel you have an acceptable reason. Keep this notice in your permanent records. Frequently asked questions How is the penalty computed? The penalty for failure to file retirement plan returns is $25 a day (up to $15,000). For returns required to be filed after December 31, 2019, the penalty for failure to file is increased to $250 a day (up to $150,000). See IRC Section 6652(e). Helpful information Form 5500-EZ, Annual Return of One-Participant (Owners and Their Spouses) Retirement Plan PDF Instructions for Form 5500-EZ PDF Penalty Relief Program for Form 5500-EZ Late Filers Where to File - Tax Exempt and Government Entities Tips for next time you file The IRS, Department of Labor, and Pension Benefit Guaranty Corporation jointly developed the Form 5500-series returns for employee benefit plans to satisfy annual reporting requirements under ERISA and the Internal Revenue Code. Plan sponsors must generally file the return on the last day of the seventh month after their plan year ends. For more information, visit Form 5500 Corner. Reference tools Publication 1, Your Rights as a Taxpayer Full list of tax forms and instructions Need help? You can authorize someone to contact the IRS on your behalf. See if you qualify for help from a Low Income Taxpayer Clinic. If you can’t find what you need online, call the IRS number at the top of your notice or letter. If you didn’t receive a letter or notice, use telephone assistance. If you can't resolve the penalty on your own, contact Taxpayer Advocate Service, an independent organization within IRS.
