No more late 8891

walsh · Post by **walsh** » Mon Apr 30, 2012 7:35 pm

I heard the IRS is no longer accept late 8891. In fact they will bounce the 1040x back as untimely. And the only way is do back filing 8891 is through private letter ruling.

Anyone heard anything different?

nelsona · Post by **nelsona** » Mon Apr 30, 2012 8:48 pm

Not true.

tsanaha · Post by **tsanaha** » Tue May 01, 2012 11:49 am

http://hodgen.com/how-the-irs-can-make- ... -painless/

it seems IRS is reviewing RRSP problem

nelsona · Post by **nelsona** » Tue May 01, 2012 12:57 pm

Do NOT be sucked in by any Tax service firm that says you need a PLR to submit back 8891's.

That is a money grab -- plain and simple.

tsanaha · Post by **tsanaha** » Tue May 01, 2012 1:40 pm

the fact IRS has no clear guideline on late f8891 filing, except posting some examples of PLR.

i would not blame on these lawyers who simply follow the standard rule guided by IRS.

However, in practice, this back filings are more like QD -- go under the radar of IRS -- and most time, they just do not bother to select them to audit -- so as the time goes by -- SOL runs out -- it is indeed a cheap/efficient way to clean up.

nelsona · Post by **nelsona** » Tue May 01, 2012 2:22 pm

In fact there is clear guidleine. Rev Prov 2002-23, which initatiated the Form in the first place, allowed for application six years back, to 1996.

Since IRS had no problem allowing backfiling of Rev Proc 2002-23, they have had no problem with the dozens of people on this site who have done so in the meantime -- without PLR.

nelsona · Post by **nelsona** » Tue May 01, 2012 2:27 pm

Tsahana, please realize that life as we know it existed long before you became aware of OVDI, QD etc. We have been recommending back-filing 8891 for 8 years now, and have had NO bad reports.

tsanaha · Post by **tsanaha** » Tue May 01, 2012 2:43 pm

For the same token, PLR, and 9100 relief do exist as well - that is what these lawyers are trying to follow.

tsanaha · Post by **tsanaha** » Tue May 01, 2012 2:45 pm

by the way, I am not making any recommendation here -- merely to alert the original poster the event of RRSP which I do care about, and it is indeed under review by IRS -- and hopefully they will come up a clear guideline

tsanaha · Post by **tsanaha** » Tue May 01, 2012 3:06 pm

Nelsona,

I have a few friends with RRSP problem, and I do recommend them read this blog and follow your posts.

You are highly respected expert here. I am not disputing that and I wish I could have followed your post many years ago.

nelsona · Post by **nelsona** » Tue May 01, 2012 3:47 pm

There is no "RRSP problem". There is only failure to file 8891 and make theelection, which is so easily solved that to call it a problem is ridiculous.

tsanaha · Post by **tsanaha** » Tue May 01, 2012 3:59 pm

from Cambridge Advanced Learner's Dictionary

Problem

1. a situation, person or thing that needs attention and needs to be dealt with or solved.

Sorry, English is not my native language, and I am only using the version for learners.

Thanks for correcting me and forgive me for being ridiculous

LOL

nelsona · Post by **nelsona** » Tue May 01, 2012 6:07 pm

I was more refering to yopur friends thinking it was a problem.

walsh · Post by **walsh** » Wed May 02, 2012 4:40 pm

[quote="tsanaha"]http://hodgen.com/how-the-irs-can-make- ... -painless/

it seems IRS is reviewing RRSP problem[/quote]

I just read the link. Seems like this lawyer will be talking to IRS this coming Monday on RRSP, l believe he will also ask about quiet disclosure. Let see what he has to say after the meeting.

nelsona · Post by **nelsona** » Thu May 03, 2012 5:06 am

Why wait? uiet disclosure works regardless what this guy says to IRS.