September 20, 2020

Volume X, Number 264

September 18, 2020

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September 17, 2020

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IRS Extends the Form 5500 Due Dates for Some Employee Benefit Plans

The Internal Revenue Service has broadened the filing and payment relief provided under prior guidance. IRS Notice 2020-23 postpones, among other relief, the due date for employee benefit plans required to make the Form 5500 series filings due on or after April 1, 2020, and before July 15, 2020.  Plans with original due dates or extended due dates falling within this period now have until July 15, 2020, to file their information reports.

Plan Administrators with original (un-extended) filing due dates falling within this announced 2 ½ month period who need additional time to file may request extensions by filing Form 5558 by July 15, 2020.  However, the extended due date will not be later than what it would have been absent this relief.

The chart below highlights the plans with a plan year-end which may benefit from Notice 2020-23 and have until July 15, 2020, to complete the required filing.

Notice 2020-23 invokes the Rev. Proc. 2018-58 section about Postponements for Federally Declared Disasters, which also states, “whatever postponement of the Form 5500 series filing due date is permitted by the IRS under section 7508A will also be permitted by the Department of Labor and PBGC for similarly situated plan administrators and direct filing entities.”

The PBGC acknowledged this IRS notice in its own Disaster Relief Announcement but reminded filers there are certain actions listed on the PBGC’s Exception List that do not automatically qualify for the relief.  The Exception List comprises actions that the PBGC views as creating a high risk of harm to plan participants.  For those actions, the PBGC will consider relief on a case-by-case basis.  For example, the PBGC filing relief may help those defined benefit plan sponsors recently engaging in significant layoffs who now need to file a PBGC Reportable Event due to a single cause active participant reduction.

IRS Notice 2020-23 also applies to the Form 990 series of filings that apply to tax-exempt trusts described in Internal Revenue Code Section 501(c)(9), referred to as VEBA (voluntary employees’ beneficiary association) trusts, among others, due on or after April 1, 2020, and before July 15, 2020.   The due date for these information reports is extended as well to July 15, 2020.

Jackson Lewis P.C. © 2020National Law Review, Volume X, Number 104

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About this Author

Suzanne Odom, Employment lawyer, Jackson Lewis
Principal

Suzanne G. Odom is a Principal in the Greenville, South Carolina, office of Jackson Lewis P.C. She focuses her practice on ERISA plans, employee benefits, and executive compensation matters.

Ms. Odom has worked extensively with all types of employer-sponsored retirement and welfare benefit plans, including pension, profit sharing, 401(k), 403(b), and 457(b) plans, ESOPs, and health, accident, disability, Section 125, flexible spending, and other welfare plans. Her clients include large and small for-profit companies across all industry sectors, non-profit...

864-672-8091
Allan S. Friedland, Jackson Lewis, COBRA Compliance Lawyer, qualified defined benefit attorney
Principal

Allan Friedland is a Principal in the Hartford, Connecticut, office of Jackson Lewis P.C. He has over 25 years of employee benefit and tax experience, both in private practice and with a major insurance company.

Mr. Friedland advises private and public employers on a wide range of retirement and health and welfare plan tax compliance issues and related ERISA fiduciary and employment law matters. He has extensive experience with health and welfare plans, including COBRA compliance, implementation, administration and termination of qualified defined benefit and defined contribution plans (including 401(k) and profit-sharing plans), as well as the design and tax aspects of deferred compensation plans for executives. Mr. Friedland also provides defined benefit and defined contribution plan drafting and governmental agency submission and representation services.

860-522-0404
Kathryn Wheeler Knowledge Management Lawyer Jackson
Attorney

Kathryn W. Wheeler is the Knowledge Management (“KM”) Attorney for Jackson Lewis P.C.’s Employee Benefits Practice Group, and is based in the Overland Park, Kansas, office of Jackson Lewis P.C. She has more than 24 years in the employee benefits industry, 14 of those years as a benefits manager for private industry. 

Ms. Wheeler has experience with employee benefits from the perspective of clients and of legal counsel, giving her the ability to understand the issues confronting clients from both sides of the table. Her zeal...

913-981-1018