How are late filing and late payment penalties computed?
The late filing penalty is assessed on the tax due at a rate of six percent per month, from the due date through the date of payment. The maximum penalty is 30 percent of the tax due. The penalty for late payment is assessed at the same rates, but does not apply to any month for which a late filing penalty has already been assessed. The maximum amount for combined late filing and late payment penalties is 30 percent of the tax due with the return.
