Overview
In 2008, the IRS issued temporary and proposed regulations (TD 9407 and REG-1115457-08) that reduced the automatic six-month extension of time to file for certain pass-through entities—most partnerships and estates and certain trusts. This was done to ensure that taxpayers received Schedules K-1 from these entities by Sept. 15, giving those taxpayers time to file their own income tax returns by the extended Oct. 15 date for individual and corporate returns. The IRS has now made these regulations permanent and final.
Partnerships
Partnership returns subject to the automatic five-month extension under the final regulations are Form 1065, U.S. Partnership Return of Income, and Form 8804, Annual Return for Partnership Withholding Tax. Form 1065-B, U.S. Return of Income for Electing Large Partnerships, is eligible for an automatic six-month extension.
Trusts and Estates
Most trusts and estates required to file Form 1041, U.S. Income Tax Return for Estates and Trusts, are also subject to the more-limited automatic five-month extension; however, bankruptcy estates required to file Form 1041 as well as filers of 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, will receive six-month, not five-month, extensions.
Excise Tax Returns: Six Month Extension
The final regulations also allow filers of Form 8928, Return of Certain Excise Taxes Under Chapter 43 of the Internal Revenue Code, to obtain an automatic six-month extension of time to file.
Form 7004 Used To Receive Extension
To receive an extension, the partnership, trust or estate must generally file Form 7004, Application for Automatic Extension of Time to File Certain Business Income Tax, Information, and Other Returns, and comply with other requirements.
