[Code of Federal Regulations]
[Title 26, Volume 18]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR301.6692-1]

[Page 425]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 301_PROCEDURE AND ADMINISTRATION--Table of Contents
 
   Additions to the Tax, Additional Amounts, and Assessable Penalties
 
Sec. 301.6692-1  Failure to file actuarial report.

    (a) Penalty. In each case in which the plan administrator (within 
the meaning of section 414(g)) of a defined benefit plan to which the 
minimum funding standards of section 412 apply fails to file the 
actuarial report described in section 6059 and Sec. 301.6059-1 within 
the time prescribed, the plan administrator shall pay a penalty of 
$1,000. A failure to provide a material item of information called for 
in the actuarial report is considered a failure to file the report. For 
this purpose, the signature of an enrolled actuary (see Sec. 301.6059-
1(d)) is considered a material item of information.
    Further, for any report filed for a plan year ending after January 
25, 1982, if the actuary seeks to materially qualify a statement 
required by Sec. 301.6059-1(c) (4) or (5) there is a failure to provide 
a material item of information called for in the report. For rules 
relating to statements not considered as materially qualifying the 
required statements, see Sec. 301.6059-1(d).
    (b) Failure to make actuarial valuation. Section 412(c)(9) and the 
regulations thereunder prescribe the time for making an actuarial 
valuation of a defined benefit plan. For purposes of this section, the 
failure to base information called for in the actuarial report upon an 
actuarial valuation of the plan which is made within the time prescribed 
by section 412(c)(9) and the regulations thereunder is considered a 
failure to file the actuarial report.
    (c) Showing of reasonable cause. The penalty imposed by this section 
does not apply if it is established to the satisfaction of the 
appropriate district director or the director of the Internal Revenue 
Service Center at which the actuarial report is required to be filed 
that the failure to file the report was due to reasonable cause. An 
affirmative showing of reasonable cause must be made in the form of a 
written statement setting forth all the facts alleged as reasonable 
cause. The statement must contain a declaration by the appropriate 
individual that the statement is made under the penalties of perjury.
    (d) Joint liability. If more than one person is responsible as a 
plan administrator for a failure to file the actuarial report, all such 
persons are jointly and severally liable with respect to the failure.
    (e) Manner of payment. The penalty imposed for the failure to file 
an actuarial report shall be paid in the same manner as a tax upon the 
issuance of notice and demand therefor.
    (f) Effective dates. In the case of a plan in existence on January 
1, 1974, this section is effective beginning with the first plan year 
beginning after December 31, 1975, for which the minimum funding 
standards of section 412 apply to the plan. In the case of a plan not in 
existence on January 1, 1974, this section is effective beginning with 
the first plan year beginning after September 2, 1974, for which the 
minimum funding standards apply to the plan.

(Secs. 6059 and 7805 of the Internal Revenue Code of 1954 (88 Stat. 947, 
68A Stat. 917; 26 U.S.C. 6059, 7805))

[T.D. 7798, 46 FR 57484, Nov. 24, 1981]