Form 8928: The Chapter 43 Excise Tax Return
Published November 8, 2026
Form 8928 reports certain excise taxes under Chapter 43 of the Internal Revenue Code. These taxes apply when a group health plan or an employer fails to meet certain health plan rules. The form covers failures under sections 4980B, 4980D, 4980E, and 4980G.
This post is general information from the IRS form and its instructions. It does not say whether a particular plan has a failure, and it does not give tax advice for a particular employer.
The four types of failure
The instructions list four types of failure. The first is a failure to provide the required level of coverage for pediatric vaccines. It also covers a failure to meet the continuation coverage rules, under section 4980B. The second is a failure to meet the portability, access, renewability, and market reform rules, under section 4980D.
The third is a failure to make comparable Archer MSA contributions for all participating employees, under section 4980E. The fourth is a failure to make comparable HSA contributions for all participating employees, under section 4980G.
Who must file
The form must be filed by any employer, group health plan, plan administrator, or plan sponsor that is liable for the tax under one of those sections. The instructions name the person who is liable in each case. Check that section before you decide who files.
If the failure is by an employer or another person who provides or administers the benefits, the instructions name that person as the filer. Examples include an insurer or a third-party administrator.
When the form is due
The due date depends on the section. For a failure under section 4980B or 4980D by an employer or other person who provides or administers the plan, the form is due on or before the due date of that person's federal income tax return.
For a multiemployer or multiple employer plan with a failure under section 4980B or 4980D, the form is due on or before the last day of the 7th month after the end of the plan year. That is a separate rule from the one above. For a failure under section 4980E or 4980G, the form is due on or before the 15th day of the 4th month after the calendar year in which the noncomparable contributions were made.
Extensions and payment
To request an automatic extension of time to file Form 8928, file Form 7004 on or before the regular due date of Form 8928. The instructions say Form 7004 does not extend the time to pay the excise taxes due under Form 8928.
Interest is charged on tax that is not paid by the due date, even if an extension of time to file is granted.
Penalties described in the instructions
The instructions describe a failure-to-file penalty of 5% of the unpaid tax for each month or part of a month the return is late. They also describe a late payment penalty and an increased minimum failure-to-file penalty for a return more than 60 days late.
No penalty applies when the late filing is due to reasonable cause. The instructions say to attach an explanation when you file late.
Mistakes to avoid
- Filing under the wrong section and missing the due date for that section.
- Treating a Form 7004 extension as an extension of time to pay.
- Leaving the plan sponsor's EIN off the form.
- Skipping the direct deposit lines when an overpayment is shown on line 42a.
Employer health benefit rules also affect how payments are reported to employees. For how employer medical reimbursements are treated, see Employer Medical Reimbursements: Are They Taxable?.
Keep the plan records that show each failure, the date it was found, and the contributions or coverage involved. Read the instructions for the section that applies before you file.
Sources: Sources: IRS, Form 8928, Return of Certain Excise Taxes Under Chapter 43 of the Internal Revenue Code (Rev. December 2025) (https://www.irs.gov/pub/irs-pdf/f8928.pdf); Instructions for Form 8928 (Rev. December 2025) (https://www.irs.gov/pub/irs-pdf/i8928.pdf) This is general information, not advice about your specific return.
