Business Failure To Deposit Penalty Frequently asked questions
We now have an FAQ list that we hope will help you answer some of the more common questions regarding Business Failure To Deposit Penalty.
1. What is the Business Failure To Deposit Penalty?
You filed a tax return with a balance due.
2. Is the penalty correct?
Usually yes, unless you have grounds to contest it.
3. What do you do?
- We contact the IRS.
- We request your record.
- We calculate your balance due.
- We check for unfiled taxes.
- We review all the data in your file.
- We will recommend which option is best.
- We will prepare the appropriate forms with the information you provide.
- We handle the contact with the IRS.
4. How much is it?
Depending how late your deposits are, between 2%-15% of the balance due.
5. What did I do?
You had a legal requirement to file your federal tax deposits by a certain date and you failed to pay, paid wrong amount, or paid via wrong method.
6. What information do I need to gather?
Tell us exactly what happened that tax year, or years, and gather all the documents related to the tax year(s).
We handle the rest.
7. How long does it take?
Depending on your file, information gathered, compliance, and resolution chosen.
It can take months. If we appeal, then add six additional months.
8. Will interest and penalties continue?
Yes.