http://www.us-tax-returns-itin-agent.com | What is the potential penalty of not filing Form 5471? Failure to file that Form, can have a potential penalty of $10,000 every year and could also put you in serious trouble. How complicated is the Form 5471? According to the instructions for Form 5471 note that it could take over 32 hours to complete this form. The form requires that you provide the IRS with the corporation's income statement, balance sheet, and data on its loans, operations and other shareholders. It also requires information on dividends and managerial payments made to shareholders, officers and directors.