Tax Years 2018 to Present

Interest

Interest for the year is based on the Federal Short Term Rate as of July of the prior year rounded to the nearest whole percent, plus 5%, thus the rate will change for each succeeding year based on the Federal rate of the previous July. The rate will be posted in October for the upcoming year.

2018 interest rate is 6%.

2019 interest rate is 7%.

2020 interest rate is 7%.

2021 interest rate is 5%.

2022 interest rate is 5%.

Penalty

Withholding
50% of the amount not timely paid (a one-time charge) on each occurrence.

Net Profit Returns
15% of the amount not timely paid (this is a one-time charge) on each occurrence.

Underpayment of Estimates
Find corresponding 2210 Form for specific tax year.

Penalty for failure to file timely
Except for estimate payments - Failure to file any withholding monthly, quarterly or W-3 form and any net profit tax return, will be charged a $25 charge for each month or fraction thereof that the return remains unfiled not to exceed $150 for each such failure. This penalty was effective as of 1/1/2016.