Everything is going paperless these days. Saving trees and speeding things up. The IRS announced in November 2023 that Form 5558 (Application for Extension of Time to File Certain Employee Benefit Plan Returns) would be able to be filed electronically through the EFAST 2 system, beginning January 1, 2024. Filing Form 5558 is required to get a 2 ½ month extension of time to file the Form 5500 series (Annual Return/Report of Employee Benefit Plan) and Form 8955-SSA (Annual Registration Statement Identifying Separated Participants With Deferred Vested Benefits). Since Form 5500s have been filed electronically through the EFAST 2 system since 2010, this seems natural and also a long time coming.
But then, in an abrupt turnaround at the end of December 2023, the IRS announced that this change would not be available until January 1, 2025, due to a delay in preparing the EFAST 2 system for this process. So, for 2023 filings, paper copies of Form 5558 must still be filed. Remember that Form 5558 must be filed before the deadline for filing Form 5500. For example, a calendar year plan must file its 2023 Form 5500 by July 31, 2024. By filing a Form 5558 on or before July 31, 2024, the plan would have until October 15, 2024 to file its 2023 Form 5500.
In other Form 5558 news, the IRS just announced that Form 5558 can no longer be used to request an extension of time to file a Form 5330 (Return of Excise Taxes Related to Employee Benefit Plans), For an extension of time to file a Form 5330, plans will now need to use Form 8868 (Application for Extension of Time To File an Exempt Organization Return or Excise Taxes Related to Employee Benefit Plans).