The IRS charges a variety of penalties for different kinds of non-compliances. They typically will charge either a civil penalty or criminal penalty, depending upon the infraction. Here are some common penalties the IRS charges. For any back tax help and queries, Please Call (855) 549-7829 or Visit http://www.taxassistancegroup.org You can also follow us on : Twitter: https://twitter.com/Tax_Assistance Facebook: https://www.facebook.com/Taxassistancegroup.org

1. The IRS charges a variety of penalties for different kinds of non-
compliances. They typically will charge either a civil penalty or criminal
penalty, depending upon the infraction. Here are some common
penalties the IRS charges:
PERNICIOUS IRS
PENALTIES

2. Penalty for Failure to Pay Taxes
Usually, the penalty charged for non-
payment of taxes is 0.5% of the taxes
due. However, it can grow to a
maximum of 25% in some cases. If a
taxpayer owes taxes and does not
pay them by the filing deadline, the
IRS begins to charge penalties and
interest on the taxes owed for each
month, or part of the month the
return remains unfiled. Even with
an extension, taxpayers are required
to pay their full tax bill before the
filing deadline.

3. Penalty for Failure to File Tax Return
The IRS charges a penalty of
5% of the tax debt owed for
non-filing of a tax return. A
taxpayer is charged this penalty
if he or she is required to file a
return and does not do so
before the filing deadline. This
penalty maxes out at 25% and
is charged each month or part of
a month the tax return remains
unfiled.

4. Trust Fund Recovery Penalty
The Trust Fund Recovery
Penalty (TFRP) is charged if the
person (sole proprietor, partner,
corporation, or an employee of
any kind of business)
responsible for withholding and
depositing taxes to the IRS fails
to do so. This individual is
personally held responsible for
paying the entire amount of
unpaid trust fund tax, plus
interest.

5. Penalty for Underpayment of Taxes
The IRS may charge a penalty if
there is understatement of income
due to negligence or willful
disobeying of the tax rules,
substantial underpayment of taxes,
or hiding of assets and/or income
overseas. Also, if benefits are
claimed without sufficient economic
substance (a transaction that lacks
meaning or purpose), the IRS can
charge this penalty.

6. Additional Penalty for Early Retirement
Accounts Withdrawal
If you make an early withdrawal
from your retirement account, a
tax penalty of 10% is charged
along with the regular income tax.
If you qualify for an exception,
you may be able to avoid the
penalty or have it removed.

7. Penalty for Tax Fraud
Penalty for tax fraud is punishable
by both fine and jail time. It may
include a fine of not more than
$250,000 for individuals
($500,000 for corporation) and/or
imprisonment of not more than 3
years. Tax fraud includes
providing false statements and
information to the IRS in any form.

8. To Learn More
Visit
www.taxassistancegroup.org
or Call
(855) 549-7829