On August 31st, 2021, the IRS issued guidance extending tax filing deadlines for Form 5500 in areas designated by the Federal Emergency Management Agency (FEMA) as qualifying for assistance due to Hurricane Ida and other recent natural disasters. This extension applies not only to Form 5500 filings but also to Form 8955-SSA.

The list of FEMA-designated disaster areas due to Hurricane Ida and other natural disasters continues to grow. Plan Sponsors are eligible for this relief if their principal place of business is located in a covered disaster area. Plan Sponsors can check the updated Disaster Relief page (IRS.gov/newsroom/tax-relief-in-disaster-situations) or check with your service provider to see if your plan qualifies for the extension or for updates to the list of covered areas.

Hurricane Ida

This tax relief postpones filing deadlines for Form 5500s originally due, with valid extensions, starting on or after August 26. For a calendar year plan, subject to extension, with a due date of October 15, 2021, the 5500 is now due on January 3, 2022. Covered disaster areas due to Hurricane Ida include the states of Louisiana and Mississippi and several counties in New Jersey, New York and Pennsylvania.

Tropical Storm Fred

For businesses whose principal place of business is located in certain counties of North Carolina, Form 5500 filings that were originally due, with valid extensions, starting on or after August 16, are now due on December 15, 2021.

California wildfires

For businesses whose principal place of business is located in certain counties of California, Form 5500 filings that were originally due, with valid extensions, starting on or after July 14 and before November 15 are now due on November 15, 2021.

Tennessee severe storms and flooding

For businesses whose principal place of business is located in certain counties of Tennessee, Form 5500 filings that were originally due, with valid extensions, starting on or after August 21 and before January 3, 2022, are now due on January 3, 2022.

These disaster extensions are automatic if the plan qualifies for the extension. Both Form 5500 and Form 8955-SSA have a section to be completed by the Plan Administrator to designate the applicable disaster giving rise to the extension.

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This newsletter is intended to provide general information on matters of interest in the area of qualified retirement plans and is distributed with the understanding that the publisher and distributor are not rendering legal, tax or other professional advice. Readers should not act or rely on any information in this newsletter without first seeking the advice of an independent tax advisor such as an attorney or CPA.