What Form 990-BL (2014) Is For
Black lung benefit trusts use Form 990-BL to report annual financial activity and pay excise tax obligations under the Black Lung Benefits Act. These trusts, supported by coal excise tax revenue, provide black lung benefits and medical coverage to coal miners totally disabled by pneumoconiosis arising from coal mine employment. The Internal Revenue Service requires this filing to ensure compliance with federal coal tax law, workers' compensation programs, and trust fund reporting requirements related to the nation’s coal mines and eligible survivors.
When You’d Use Form 990-BL (2014)
Trustees and administrators of Black Lung Benefit Trusts must file Form 990-BL if their trust earns more than $50,000 in gross receipts or pays excise tax under sections 4951 or 4952. The return is due on the fifteenth day of the fifth month after the close of the trust’s tax year. Late filers can request a six-month extension using Form 8868. The Internal Revenue Service also allows amended filings if errors occur, which must clearly state “Amended Return” and include corrections. Timely filing supports compliance with the Black Lung Benefits Act and ensures continued eligibility under the federal Black Lung Program.
Key Rules or Details for 2014
- Eligible Trust Status: A black lung benefit trust must be created by coal mine operators for the exclusive purpose of paying benefits and medical expenses to miners and eligible survivors under the Black Lung Benefits Act.
- Coal Excise Tax Collection: The coal excise tax applies to coal mined underground and surface-mined based on the coal’s selling price or ton produced, with revenue supporting the Black Lung Disability Trust Fund.
- Excise Tax Rates: For 2014, tax rates remained at $1.10 per ton for underground coal and $0.55 per ton for surface mines, not exceeding 4.4% of the sales price per ton.
- Prohibited Self-Dealing: Transactions between black lung benefit trusts and certain related individuals, including trustees, contributors, or family members, are not permitted. Violations can trigger excise tax penalties.
- Public Record Disclosure: Most parts of Form 990-BL become public, except contributor information and schedules reporting excise tax calculations.
- Statutory Requirements: Trusts must comply with federal government rules under the Affordable Care Act, the Safety Act, and the Inflation Reduction Act provisions, as applicable, regarding reporting requirements and excise tax laws.
Browse more tax form instructions and filing guides in our Forms Hub.
Step-by-Step (High Level)
Step 1: Gather Financial Records
Collect annual trust data, including revenue from coal excise taxes, benefit payments, administrative expenses, and investment statements. Complete records help confirm that all revenue collected through excise tax aligns with workers' compensation and benefit programs.
Step 2: Complete Identification Details
Enter the trust name, address, and employer identification number on Form 990-BL. Include the type of trust and applicable tax year, and confirm any address changes or contact updates for coal industry compliance.
Step 3: Fill Out Financial Sections
Report all revenue and expenses, including benefit payments, coal miners’ compensation, and medical benefits. Ensure that coal mined underground and surface-mined revenues align with reported excise tax collections and allowable trust expenses.
Step 4: Review Compliance Questions
Answer questions about self-dealing, excise tax rates, and whether prohibited transactions with certain related individuals occurred. If required, attach Schedule A to disclose taxable expenditures and related excise tax calculations.
Step 5: Sign and File With the IRS
After completing all sections, the authorized trustee must sign and date the return. Submit the initial excise tax return and supporting documents to the Internal Revenue Service Center in Kansas City, Missouri, ensuring that reporting requirements are fully met.
Learn more about federal tax filing through our IRS Form Help Center.
Common Mistakes and How to Avoid Them
- Missing Filing Deadlines: Trustees often confuse Form 990-BL deadlines with those of individual tax returns. Mark the correct filing deadline to avoid penalties from the Internal Revenue Service.
- Improper Transactions: Self-dealing between black lung benefit trusts and certain related individuals constitutes a violation of the Black Lung Benefits Act. Maintain independent oversight to ensure compliance.
- Incomplete Documentation: Failure to track coal excise tax revenue, benefit payments, and expenses can result in delayed processing. Keep organized monthly records for all financial activity.
- Unapproved Investments: Trusts must not invest in assets beyond those permitted by law. Only invest in approved government securities and federally insured accounts.
- Ignoring Excise Tax Requirements: Every ton of coal mined generates excise tax liability. Calculate excise tax rates accurately for underground and surface mines to prevent underreporting.
- Omitting Amendments: If you discover an error, file an amended return promptly. Clearly note corrections to maintain accurate trust fund reporting.
Learn more about how to avoid business tax problems in our guide on How to File and Avoid Penalties.
What Happens After You File
Once submitted, Form 990-BL is processed by the Internal Revenue Service, typically within six to eight weeks. Portions of the filing, excluding confidential schedules, become public record for compliance transparency. The IRS may request additional documentation or conduct a review to verify the information if it finds discrepancies. Proper filing ensures black lung benefit trusts remain compliant under federal coal regulations and continue paying benefits to miners who are totally disabled or to eligible survivors. Timely filing also helps maintain the integrity of trust funds for coal mine workers' compensation programs and related benefit distributions.
FAQs
Who must file Form 990-BL (2014) under the Black Lung Benefits Act?
Trustees of black lung benefit trusts must file if the trust earns more than $50,000 in gross receipts or owes excise tax under federal law.
How does the coal excise tax support the Black Lung Disability Trust Fund?
The coal excise tax is collected on each ton of coal mined underground or at surface mines, generating revenue that funds benefit payments and medical benefits for eligible miners.
What are the excise tax rates for coal mined during 2014?
Excise tax rates for the 2014 tax year remained $1.10 per ton for coal mined underground and $0.55 per ton for surface-mined coal, subject to statutory limits.
What happens if black lung benefit trusts engage in self-dealing with certain related individuals?
If transactions occur between the trust and related parties, excise tax penalties may apply. Trustees must correct violations to comply with IRS and Black Lung Program standards.
What documentation should trusts keep to support Form 990-BL reporting?
Trusts must retain records of coal mined, excise tax collected, benefit payments, administrative expenses, and medical coverage disbursements for at least three years after filing.
How does the Black Lung Program determine eligibility for miners and survivors?
The federal black lung program provides benefits to miners totally disabled from pneumoconiosis arising out of coal mine employment and to eligible survivors after a miner’s death.
Can trusts file an amended Form 990-BL if an error is discovered?
Yes, trustees can file an amended form with “Amended Return” written at the top, providing explanations and corrections to meet Internal Revenue Service reporting requirements.
For more resources on filing or understanding prior-year IRS forms, visit our guide on Business Income Tax Forms.
