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IRS Non-Compliance Penalty Chart
|
IRS
Penalties
|
| Violation |
IRS
Penalty Imposed |
Late
Filing
(If your IRS tax return is more than 60 days late, the
minimum IRS tax penalty is the smaller of $100 or 100% of
the tax owed.) |
5%
per month of the net tax due the IRS
(maximum 25%)
|
| Late
filing with the IRS due to fraud |
15%
per month of the net tax due the IRS
(maximum 75%)
|
| Late
tax payments |
0.5%
per month of the unpaid tax due the IRS
(maximum 25%)
(The 0.5% rate increases to 1% after the IRS issues an
IRS tax notice of intent to levy)
|
Negligence
or disregard of
IRS tax rules and IRS tax regulations |
20%
of tax underpayment due the IRS
|
| Fraud |
75%
of tax underpayment due the IRS
|
| Substantial
understatements of income tax (tax underpayments that exceed
the greater of 10% of the correct tax liability or $5,000) |
20%
of tax underpayment due the IRS |
| Over
valuations of 200% or more but less than 400% of the correct
amount |
20%
of tax underpayment due the IRS |
| Over
valuations of 400% or more of the correct amount |
40%
of tax underpayment due the IRS |
| Interest
Rates |
Currently
7% per Year |
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