What IRS Form 1065-B (2017) Is For
IRS Form 1065-B (2017) was a tax return used by electing large partnerships, known as ELPs. These partnerships had 100 or more partners and filed this form instead of the standard Form 1065. The purpose of the form was to report income, deductions, credits, and other tax information to the IRS. Unlike smaller partnerships or S corporations, ELPs reported combined results at the partnership level. Each partner received a Schedule K-1 showing their share of income, deductions, and credits for that tax year.
When You'd Use Form 1065-B for 2017 (Late or Amended Filing)
You would use IRS Form 1065-B (2017) if your partnership missed the original due date or needs to amend an earlier filing. The due date for the 2017 tax year was March 15, 2018. Late or amended filings are common when businesses receive IRS notices or discover errors that affect partner K-1s. Since 2017 was the last year this form was valid, all later filings must use the standard partnership tax return, Form 1065. Before you file your tax return, review your IRS account for details about any penalties, interest, or balance owed.
Key Rules Specific to 2017
- Final Year of ELP Rules: The electing large partnership rules were repealed after 2017 under Public Law 114-74.
- Combined Reporting: Partnerships report income, deductions, and credits at the partnership level, rather than itemizing each partner’s share of the revenue, deductions, and credits.
- Due Date: The due date for the 2017 Form 1065-B and related Schedules K-1 was March 15, 2018.
- Penalty: The late filing penalty was $195 per partner per month, multiplied by the number of months late, up to a maximum of 12 months.
- Different Rules Than Today: The audit, payment, and reporting procedures for 2017 differ from those used in the current tax year.
Browse more tax form instructions and filing guides in our Forms Hub.
Step-by-Step (High Level)
- Gather Records: Collect all 2017 financial statements, partner information, prior returns, and IRS correspondence.
- Get Transcripts: Request IRS account transcripts to confirm what was filed and whether penalties or interest have been assessed.
- Prepare the Form: Download the 2017 version of IRS Form 1065-B from IRS.gov. Current forms cannot be used for tax years before the current one.
- Complete Schedules K-1: Prepare and issue a Schedule K-1 for every partner. Each K-1 must reconcile with the totals on the primary return.
- File Properly: Sign the completed return and mail it to the IRS Ogden, Utah processing center. Electronic filing is usually unavailable for prior-year returns.
- Maintain Documentation: Keep copies of all forms, partner K-1s, and proof of mailing on behalf of the partnership.
Learn more about federal tax filing through our IRS Form Help Center.
Common Mistakes and How to Avoid Them
- Using the Wrong Form: Only use the 2017 version of IRS Form 1065-B. Substituting a current form can lead to rejection.
- Unsigned Returns: A general partner or authorized member must sign the return. Unsigned filings are invalid and trigger penalties.
- K-1 Errors: Ensure that all partner K-1 totals match the primary return. Inconsistent numbers can lead to penalties and delays.
- Mailing Errors: Send all filings to the IRS Ogden, Utah processing center. Mailing to the incorrect address may result in late filing charges.
- Applying Current Rules: Avoid using current estimated tax rules or audit procedures for a 2017 filing.
- State Returns: Many states require corresponding amended filings when federal partnership returns change.
Learn more about how to avoid business tax problems in our guide on How to File and Avoid Penalties.
What Happens After You File
After you file your tax return, it may take 12 to 16 weeks for the IRS to process it. You may receive notices about late penalties, outstanding balance amounts, or interest charges. The penalty charge is $195 per partner per month, which can add up quickly. If you cannot pay the full balance, you may request a payment plan using Form 9465 or by visiting IRS.gov.
Check your IRS online account or bank account regularly to confirm payment status or refund updates. Refunds for the 2017 tax year are generally no longer available due to the expiration of the statute of limitations for refunds. You can check refund information by selecting the locked padlock icon on the IRS “Where’s My Refund?” page. Always refer to the official IRS instructions for complete filing information.
FAQs
Can I still file IRS Form 1065-B (2017) if my partnership never filed before?
Yes, you can still file IRS Form 1065-B (2017) at any time. Filing your tax return now stops additional penalties and interest from accruing. Prompt filing helps you avoid larger balance charges and ensures your partnership account remains in good standing with the IRS.
How is the penalty calculated for a late tax return?
The penalty for a late tax return is $195 per partner per month, multiplied by the number of months late, up to a maximum of 12 months. For example, a 10-partner business filing six months late would owe $11,700. This charge applies regardless of whether the partnership owed tax or received a refund.
Do S corporations follow the same filing rules as partnerships?
No, S corporations must file Form 1120-S and follow separate deadlines for each tax year. While partnerships file Form 1065 or 1065-B, corporations have different payment and reporting obligations. Always refer to IRS guidance to ensure you use the correct form and avoid penalties.
How does estimated tax apply to large partnerships?
Large partnerships may be required to make estimated tax payments for certain types of income. Failure to pay the correct amount can cause underpayment penalties. To avoid this, calculate estimated payments using prior-year figures or whichever method best fits your business activity. Always check IRS resources for the most up-to-date rules.
Where can I get more information about IRS Form 1065-B (2017)?
Visit IRS.gov and search for prior-year forms to find IRS Form 1065-B (2017) and detailed instructions. You can print the form, review official guidance, and find answers to common questions. You may also register for an IRS business account to check payment details, credits, and balance information.
