Skip to content

Unfiled Returns for 2019 and 2020? Late Filing Forgiveness Opportunity

The IRS just announced that they are offering late filing forgiveness to those who did not get certain tax returns for 2019 and 2020 filed on time. The deadline for getting those returns filed and to qualify for that forgiveness is September 30, 2022.

Notice 2022-36 explains the details and lists the returns which fall into the new forgiveness window. The forgiveness is for the “failure to file” penalty which is 5% per month, capped at 25% for each return. The following is a list of some of the returns eligible for the forgiveness:

Form 1040, U.S. Individual Income Tax Return; Form 1040-C, U.S. Departing Alien Income Tax Return; Form 1040-NR, U.S. Nonresident Alien Income Tax Return; Form 1040-NR-EZ, U.S. Income Tax Return for Certain Nonresident Aliens With No Dependents; Form 1040 (PR), Federal Self-Employment Contribution Statement for Residents of Puerto Rico; Form 1040-SR, U.S. Tax Return for Seniors; and Form 1040-SS, U.S. Self-Employment Tax Return (Including the Additional Child Tax Credit for Bona Fide Residents of Puerto Rico);

Form 1041, U.S. Income Tax Return for Estates and Trusts; Form 1041-N, U.S. Income Tax Return for Electing Alaska Native Settlement Trusts; and Form 1041-QFT, U.S. Income Tax Return for Qualified Funeral Trusts;

Form 1120, U.S. Corporation Income Tax Return; Form 1120-C, U.S. Income Tax Return for Cooperative Associations; Form 1120-F, U.S. Income Tax Return of a Foreign Corporation; Form 1120-FSC, U.S. Income Tax Return of a Foreign Sales Corporation; Form 1120-H, U.S. Income Tax Return for Homeowners Associations; Form 1120-L, U.S. Life Insurance Company Income Tax Return; Form 1120-ND, Return for Nuclear Decommissioning Funds and Certain Related Persons; Form 1120-PC, U.S. Property and Casualty Insurance Company Income Tax Return; Form 1120-POL, U.S. Income Tax Return for Certain Political Organizations; Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts; Form 1120-RIC, U.S. Income Tax Return for Regulated Investment Companies; and Form 1120-SF, U.S. Income Tax Return for Settlement Funds (Under Section 468B);

Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return; and

Form 990-PF, Return of Private Foundation or Section 4947(a)(1) Trust Treated as Private Foundation; and Form 990-T, Exempt Organization Business Income Tax Return (and Proxy Tax Under Section 6033(e)).

There is also some penalty relief for business returns, but the rules are very specific and vary by situation. If you are wondering if you fall into this category, please contact us to discuss your situation.

Good news is also available for those who have already filed their returns for ’19 and ’20, but after the original due date and were charged a penalty. The IRS says they will automatically start sending out refunds of the late filing penalty by the end September 2022.

white calendar, watch and pencil on desk

Are you late in filing your 2019 or 2020 return? We still have a few more weeks to qualify for this penalty relief. Call our office at 912-335-5404 to make an appointment.