What is my penalty if I file or pay a return late?
The Department of Revenue is required to assess a five percent late penalty if the tax due on a return filed by a taxpayer is not paid by the due date. Late penalties of 15 to 25 percent proceed as follows: • 15 percent penalty due after the last day of the month following the return’s due date; • 25 percent penalty due after the last day of the second month following the return’s due date. • Note: The minimum penalty for late payment is five dollars. Does the Department of Revenue grant penalty waivers? Yes, the Department has the authority to waive delinquent or late return penalties under limited circumstances. • When the underpayment of tax, or the failure to pay any tax by the due date, was the result of circumstances beyond the control of the taxpayer. These circumstances are discussed in WAC 458-20-228. Lack of funds, being unaware that taxes are due, or not receiving the return in the mail are generally NOT considered circumstances beyond the control of a taxpayer and would not
