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A penalty may be imposed for failure to file Form 8804 when due (including extensions). The penalty for not filing Form 8804 when due is usually 5% of the unpaid tax for each month or part of a month the return is late, but not more than 25% of the unpaid tax.
Form 8804 is required to be filed by partnerships that have ECTI allocable to foreign partners. This includes both U.S. and foreign partnerships that engage in a trade or business within the United States.
A partnerships effectively connected taxable income (ECTI) is generally the partnerships taxable income as computed under section 703, with adjustments as provided in section 1446(c) and this section, and computed with consideration of only those partnership items which are effectively connected (or treated as
The IRS supports electronic filing only for Form 1065 and related forms and schedules and the extension Form 7004. Any forms filed to the IRS separately from Form 1065, such as Form 8804, arent included in the electronic file and need to be filed on paper.
Yes. You can use Free File Fillable Forms to e-file your federal return. This means you are filing your return electronically over the Internet.
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Filing Form 8804 is a simple process. All partnerships with US ECTI that can be allocated to a foreign partner must file this form, regardless of whether they had any effectively connected taxable income. In other words, Form 8804 needs to be filed even if the partnership has recorded a loss in that year.

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