What IRS Form 990-BL (2019) Is For

IRS Form 990-BL (2019) is the official information and initial excise tax return for Black Lung Benefit Trusts established under the Black Lung Benefits Act and the Internal Revenue Code. These trusts are designed to provide benefit payments to eligible miners, survivors, and dependents affected by black lung disease, an occupational disease caused by prolonged coal mine employment.

This form reports the trust’s income, assets, and benefits paid under the federal Black Lung Program, ensuring compliance with Internal Revenue Service regulations. The data helps verify that funds are used solely for medical coverage, workers' compensation, and treatment of totally disabled coal miners and their survivors. Filing the form correctly supports ongoing oversight of organizations administering Black Lung benefits, maintaining transparency and accountability for funds distributed through these benefit trusts and specific exempt organizations.

When You’d Use IRS Form 990-BL (2019)

You’d use IRS Form 990-BL (2019) when a trust is organized or operates to pay black lung benefits under Part B or Part C of the Black Lung Benefits Act. This form applies to organizations that manage or distribute funds attributable to coal mine employment.

• Newly established trusts: File this when a trust is created to manage funds designated for medical coverage and compensation related to black lung claims.
• Annual reporting: File each calendar or fiscal year in which the trust maintains assets or makes benefit payments.
• Terminated trusts: File a final return if the trust has distributed all funds or ceased operations.
• Late or amended filings: File this when correcting earlier submissions or fulfilling missed filing obligations to remain compliant.

Key Rules or Details for 2019

For the 2019 tax year, the Internal Revenue Service outlined specific requirements for filing IRS Form 990-BL (2019) to ensure all Black Lung Benefit Trusts comply with federal reporting standards. These rules guide how organizations report financial activity and maintain records under the Internal Revenue Code.

• Filing requirement: All Black Lung Benefit Trusts must file an annual return electronically or by mail using the official IRS form for the applicable year.
• Reporting period: Each return must accurately reflect the organization's income, benefit payments, and asset balances for the fiscal year.
• Information required: The form must include the trust’s employer identification number, legal name, address, and a full summary of benefits paid.
• Noncompliance notices: Organizations that fail to file or report correctly may receive IRS notices and could face penalties imposed under the Internal Revenue Code.
• Extended filing options: An extension may be obtained by filing Form 8868 before the original due date.

Step-by-Step (High Level)

The following steps outline how to properly complete and file IRS Form 990-BL (2019) for organizations responsible for administering Black Lung Benefit Trusts:

1. Gather essential details: Collect the trust’s legal name, employer identification number, address, and all records related to benefit payments made during the tax year.
2. Confirm eligibility: Before proceeding with the return, ensure the trust qualifies as a Black Lung Benefit Trust under Internal Revenue Code Section 501(c)(21).
3. Report financial activity: Accurately reflect all income, assets, and benefit payments attributable to the organization’s operations for the applicable year.
4. Complete Parts I and II: Provide all required information and initial excise tax details, identifying each benefit payment type and its total value.
5. Verify signatures and dates: Confirm that the responsible trustee or officer signs and dates the return before submission.
6. Submit to the IRS: File by the fifteenth day of the fifth month following the end of the trust’s fiscal or calendar year.
7. Retain copies: Keep a signed copy of the filed return and all supporting documentation for future reference or potential audits.

Common Mistakes and How to Avoid Them

Avoiding common errors when filing IRS Form 990-BL (2019) helps ensure your trust complies with Internal Revenue Service requirements and prevents unnecessary correspondence or delays.

• Incorrect eligibility classification: Verify that the organization qualifies as a Black Lung Benefit Trust under the Internal Revenue Code before filing.
• Incomplete or inaccurate entries: Review each section carefully and confirm that all financial and organizational details are complete and accurate before submission.
• Using the wrong year’s form: Always file using the correct version of the form that corresponds with the applicable calendar or fiscal year.
• Failure to sign and date: Ensure the responsible trustee or officer signs and dates the form; unsigned filings are invalid and will be rejected.
• Inaccurate reporting of benefit payments: Confirm that all medical coverage and compensation figures match accounting records.
• Missing deadlines or extensions: File by the due date or request an extension in advance to maintain compliance and avoid penalties.

What Happens After You File

After submitting IRS Form 990-BL (2019), the Internal Revenue Service reviews the return to verify compliance and accuracy. The organization may receive an IRS notice requesting clarification or additional information if discrepancies are found. Once accepted, the return becomes part of the public record in accordance with federal transparency laws. 

The trust should retain all supporting documentation for at least three years to address potential claims or audits. Proper filing ensures that the organization remains in good standing and continues to provide benefit payments, medical coverage, and compensation to eligible miners, survivors, and others affected by coal mine employment and black lung disease.

FAQs

What are Black Lung Benefit Trusts?

Black lung benefit trusts are special funds created under the Internal Revenue Code to provide financial and medical assistance to coal miners and their survivors of black lung disease. These trusts ensure proper asset management and benefit payments under the Black Lung Benefits Act.

What is the federal Black Lung Program?

The federal Black Lung Program, administered by the Department of Labor, compensates miners who develop pneumoconiosis while working in coal mines. It offers benefits such as medical coverage, monthly compensation, and support for survivors of eligible miners.

What is the initial excise tax return under IRS Form 990-BL (2019)?

The initial excise tax return section of Form 990-BL reports any excise tax imposed on Black Lung benefit trusts. It ensures compliance with tax regulations under the Internal Revenue Code and verifies that funds are used for approved benefit payments.

How does this form relate to workers' compensation?

IRS Form 990-BL (2019) helps verify that benefit trusts provide financial assistance similar to workers' compensation for miners suffering from occupational disease. It confirms that funds are used for medical treatment, transportation, and income support of miners and their survivors.