Form 8831 - Excise Taxes On Excess Inclusions Of Remic Residual Interests Page 2

Download a blank fillable Form 8831 - Excise Taxes On Excess Inclusions Of Remic Residual Interests in PDF format just by clicking the "DOWNLOAD PDF" button.

Open the file in any PDF-viewing software. Adobe Reader or any alternative for Windows or MacOS are required to access and complete fillable content.

Complete Form 8831 - Excise Taxes On Excess Inclusions Of Remic Residual Interests with your personal data - all interactive fields are highlighted in places where you should type, access drop-down lists or select multiple-choice options.

Some fillable PDF-files have the option of saving the completed form that contains your own data for later use or sending it out straight away.

ADVERTISEMENT

2
Form 8831 (Rev. 1-2012)
Page
General Instructions
You will be relieved of the liability for
its tax year in which the disqualified
the tax if you obtain an affidavit from the
person is a record holder. If the due
Section references are to the Internal
transferee signed under penalties of
date falls on a Saturday, Sunday, or
Revenue Code unless otherwise noted.
perjury that either furnishes the
legal holiday, file on the next day that is
transferee’s social security number or
not a Saturday, Sunday, or legal holiday.
What's New
states that the transferee is not a
If more time is needed, use Form
disqualified organization, provided you
The IRS has created a page on IRS.gov
7004, Application for Automatic
do not have actual knowledge at the
for information about Form 8831 at
Extension of Time To File Certain
time of the transfer that the affidavit is
Information
Business Income Tax, Information, and
false.
about any future developments affecting
Other Returns, to request an extension
Form 8831 (such as legislation enacted
A pass-through entity must file Form
of time to file Form 8831. However, Form
after we release it) will be posted on that
8831 if it is liable for the tax in Part II
7004 does not extend the time for
page.
under section 860E(e)(6). The entity must
payment of tax.
pay this tax if, at any time during the
Purpose of Form
Where To File
entity’s tax year, excess inclusions from
a residual interest in a REMIC are
Use Form 8831 to report and pay:
File Form 8831 at the following address:
allocable to an interest in the entity for
• The excise tax due under section
Department of the Treasury
which the record holder is a disqualified
860E(e)(1) on any transfer of a residual
Internal Revenue Service
organization. The tax applies to excess
interest in a REMIC to a disqualified
Cincinnati, OH 45999
inclusions for periods after March 31,
organization,
1988, but only to the extent the
Rounding Off to Whole
inclusions are allocable either to an
• The amount due under Regulations
Dollars
interest in the pass-through entity
section 1.860E-2(a)(7)(ii) if the tax under
acquired after March 31, 1988, or to a
section 860E(e)(1) is to be waived, or
You may round off cents to whole
residual interest acquired by the pass-
• The excise tax due under section
dollars on your returns and schedules. If
through entity after March 31, 1988. Any
you do round to whole dollars, you must
860E(e)(6) on pass-through entities with
interest acquired under a binding
interests held by disqualified
round all amounts. To round, drop
contract in effect on March 31, 1988, is
amounts under 50 cents and increase
organizations. All interests in an electing
treated as acquired before that date. A
large partnership are treated as held by
amounts from 50 to 99 cents to the next
real estate investment trust, regulated
dollar. For example, $1.39 becomes $1
disqualified organizations (see section
investment company, common trust
774(e) for details).
and $2.50 becomes $3.
fund, or publicly traded partnership is
If you have to add two or more
Definitions
subject to the tax due under section
amounts to figure the amount to enter
860E(e)(6) only for tax years beginning
A disqualified organization is:
on a line, include cents when adding the
after 1988.
amounts and round off only the total.
• The United States, any state or
Generally, a pass-through entity is not
political subdivision thereof, any foreign
subject to the excise tax under section
Amended Return
government, any international
860E(e)(6) if it obtains an affidavit from
To amend a previously filed Form 8831,
organization, or any of their agencies or
the record holder signed under penalties
instrumentalities (except for certain
file a corrected Form 8831 marked
of perjury that either furnishes the record
“Amended” at the top of the form.
taxable instrumentalities described in
holder’s social security number or states
section 168(h)(2)(D) and the Federal
that the record holder is not a
Signature
Home Loan Mortgage Corporation);
disqualified organization. The affidavit
provides relief for any period during
See the instructions for the “Signature”
• Any tax-exempt organization (other than a
which the pass-through entity does not
section of your federal income tax
farmers’ cooperative described in section
have actual knowledge that the affidavit
return.
521), unless that organization is subject to
is false. However, this relief does not
the unrelated business income tax; and
Interest and Penalties
apply to electing large partnerships.
• Any cooperative described in section
A pass-through entity that owes both
Interest. Interest is charged on taxes
1381(a)(2)(C).
the excise tax in Part I under section
not paid by the due date. Interest is also
A pass-through entity is a regulated
860E(e)(1) (or the amount due under
charged on certain penalties. The
investment company, real estate
Regulations section 1.860E-2(a)(7)(ii))
interest charged is figured at a rate
investment trust, common trust fund,
and the excise tax in Part II under
determined under section 6621.
partnership, trust, estate, or a cooperative
section 860E(e)(6) must file a separate
Late filing penalty. Generally, a penalty
described in section 1381. A person
form for each tax.
of 5% a month or part of a month, up to
holding an interest in a pass-through entity
When To File
a maximum of 25%, is imposed on the
as a nominee for another person is also
net amount of tax due if the excise tax
treated as a pass-through entity.
For the excise tax due under section
return is not filed when due.
Who Must File
860E(e)(1), file Form 8831 and pay the
Late payment penalty. Generally, the
tax by April 15 of the year following the
penalty for not paying tax when due is
You must file Form 8831 if you are liable
calendar year in which the residual
/
of 1% of the unpaid tax, up to a
for the excise tax in Part I under section
1
2
interest is transferred to a disqualified
maximum of 25%, for each month or
860E(e)(1) (or the amount due under
organization. A pass-through entity must
part of a month the tax remains unpaid.
Regulations section 1.860E-2(a)(7)(ii))
file Form 8831 and pay the tax due
because you transferred a residual
under section 860E(e)(6) by the 15th day
interest in a REMIC to a disqualified
of the 4th month following the close of
organization after March 31, 1988
(unless the transfer was made under a
binding contract in effect on that date).
File a separate Form 8831 for each
transfer of a residual interest.

ADVERTISEMENT

00 votes

Related Articles

Related forms

Related Categories

Parent category: Financial
Go
Page of 3