05-09-2024

Penalties and Consequences of not filing PCORI Fee (in 2024)

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Penalties and Consequences of Not Filing the PCORI Fee in 2024

PCORI payments support the trust fund of the Patient-Centered Outcomes Research Institute. Depending on the kind of schedule, employers or health insurance firms pay the fees to the Internal Revenue Service (IRS). Sometimes we miss the deadline or fail to pay the PCORI Tax, so here are the penalties and Consequences of not filing the PCORI Tax in 2024.

When is the PCORI Fee Due Date in 2024?

The fee is usually due by July 31st every year. For 2024, it is July 31st, Wednesday.

Penalties and Consequences for Failure to File the PCORI Tax

As the PCORI charge is considered an excise tax, any associated penalties for failing to file a return or pay a tax would seem to apply even if the PCORI regulations do not specifically mention penalties for failing to report or pay the fee. The penalties for failing to file a return or pay taxes are outlined in Code §6651.

1. For every month or part of a month that the return is late, there is a penalty of 5% of the excise tax owed, up to a maximum of 25% of the unpaid tax. The minimum penalty for not filing within 60 days of the deadline, including extensions is $100, whichever is less, or the whole amount of tax that has to be paid with the return.


2. In addition, there's a fine for not paying the excise tax on time. Up to 25% of the unpaid tax, is equivalent to 0.5% of any tax that is not paid by the deadline for every month or part of a month that the tax is not paid.


3. Interest on overdue excise taxes may be assessed in addition to penalties.

Do you know there are 3 ways to calculate your PCORI Fee? Read the blog on PCORI Fee Reporting 2024 to know more.

Penalties and Consequences of Not Filing the PCORI Tax may occasionally be remitted if the plan sponsor can demonstrate fair cause and the nonpayment was not the result of deliberate disregard.

How to file PCORI fee smartly!

Employers must make the effort to compute their PCORI fees and submit them on time.

Additionally, to avoid the Penalties and Consequences of not Filing the PCORI fee in 2024 you can reach Simple 720(IRS Authorized efile provider) to file your PCORI fee Online and experience the comfort!