Filing for an Extension with EFAST2 and the Delinquent Filer Voluntary Compliance (DFVC) Program

Deadlines, Extensions and the DFVC Program is another EFAST2 Filing System article that discusses IRS Form 5500 deadline and extension issues. It discusses the Updated IRS Form 5558 Procedures, noting that in many cases the same automatic extension will apply, but will not need to be attached to the filing:

Unlike EFAST, where the plan sponsor must attach to the Form 5500 filing either the Form 5558 or the plan sponsor's extension request, under EFAST2, the plan sponsor attaches neither the Form 5558 nor the plan sponsor's extension request to the filing.
The preparer simply checks the appropriate box under line D on the Form 5500 indicating the type of extension obtained (i.e., Form 5558, automatic extension or special extension).

We have previously discussed what to do if you are behind in your IRS Form 5500 filings and the Delinquent Filer Voluntary Compliance (DFVC) Program. The article discusses how the program will continue under EFAST2:

The 5500 preparer will check the box under line D of the Form 5500 indicating that it is filing under the DFVC program. Recent comments by DOL officials indicate that they intend for plan sponsors to use the DFVC Program to correct late filings. Whether such comments mean that DFVC will be the exclusive method for correcting late filings is unclear. A preparer that relies on a written request to abate the penalty for reasonable cause is taking a risk of substantially higher penalties than will apply if the preparer simply files under DFVC. A preparer that decides to request an abatement of the penalties will need to attach the request as an attachment to the late-filed Form 5500.

Here is a complete list of the FAQ:

• Will the DOL apply the same deadline for filing a Form 5500 under EFAST2 as under EFAST?
• Will a plan sponsor continue to use a Form 5558 to obtain a 2½ month extension to file a Form 5500?
• May an employer continue to take advantage of the automatic extension under EFAST2?
• Under EFAST2, must the plan sponsor attach the Form 5558 or the plan sponsor's extension request to the Form 5500 filing?
• Will the Delinquent Filer Voluntary Compliance (DFVC) Program continue to be available under EFAST2?