If you submit your submission late, we will charge you a penalty, unless you have a valid extension of the submission deadline. We may charge you a penalty on the amount of estimated taxes you have not paid or paid at the end of the year (either through estimated tax payments, withholding tax or a combination of both). The penalty you must pay is equal to the short-term federal interest rate plus five and a half percentage points (adjusted quarterly), but not less than 7.5%. You must contact the Comptroller`s Enforcement Division immediately by visiting your local auditor`s office or by calling 800-252-8880. Make sure you have your 11-digit tax identification number handy. The underpayment penalty applies if your estimated withholding tax and tax payments for 2021 are not at least the lesser of the following: To report a business or individual that you believe is not properly remitting taxes owing, you can call our law enforcement department at 800-252-8880 or contact your local auditor`s office. Be prepared to provide information about the business, such as its name, location, phone number, owner`s name, and a description of how the business is allegedly violating tax law. If you wish, you can remain anonymous. Understand the different types of punishments, what to do if you receive a penalty, and how to avoid it.
If a notice or letter we sent you contains instructions or deadlines for contesting the penalty, be careful. You must follow the instructions to dispute the penalty. While taxes are still due on the due date, the auditor`s office will review payment plans on a case-by-case basis to avoid undue hardship to taxpayers. For more information, please contact your local auditor`s office. Interest will be charged on all overdue taxes for each month or fraction of a month from the first day following the due date. The interest rate is adjusted each year on January 1. The current interest rate is available on the IFTA page. If you submit more than three months after the due date (including renewals), a 20% penalty will be added for late submission. You therefore owe a total penalty of 25% of the unpaid taxes. A 100% penalty will also be applied if you do not file a tax return for three consecutive years, including renewals, by the third year due date. In some situations, additional penalties may be added.
Below is a list of penalties or you can read more in publication OR-17. The IRS charges a penalty for a variety of reasons, even if you don`t: State law requires that all outstanding taxes, fines, interest, and penalties owed to the state be secured by a lien. Please note that a tax lien can have a negative effect on your creditworthiness. If you are late paying your taxes, please contact your local auditor`s office or call 800-252-8880 to discuss your account. If the tax you report on your return is more than 10% or $2,000 less than the exact tax, whichever is greater, you may have to pay a penalty. Call us at the toll-free number in the top right corner of your message or letter, or write us a letter explaining why we should reconsider the penalty. Sign and send the letter, along with all supporting documents, to the address indicated on your message or letter. We may be able to waive or reduce certain penalties if you have acted in good faith and can demonstrate a reasonable reason why you have not been able to comply with your tax obligations. By law, we cannot waive or reduce interest unless the penalty is waived or reduced. In order to protect the interests of the Crown, it is sometimes necessary for the auditor`s office to seize and sell a taxpayer`s non-exempt assets.
If you are late paying your taxes, please contact your local auditor`s office or call 800-252-8880 to discuss your account. If you disagree with the amount you owe, you can appeal the penalty. If you have outstanding balances, the auditor`s office will send you a billing notice asking you to pay the balance. The remaining amount is due upon receipt of the reminder. This Communication sets out how penalties and additional interest are to be assessed. It also explains how to request a hearing if you disagree with the invoice notice. Finally, it describes possible collection actions that the auditor can take to recover defaulting balances. We may charge interest on a penalty if you do not pay it in full. We charge penalties each month until you pay the full amount you owe. Typically, the auditor`s office takes the following collection actions to protect the interests of the state and collect overdue taxes: If you can`t pay the full amount of your taxes or penalties on time, pay what you can now and request a payment plan. You can reduce future penalties if you set up a payment plan. Employers with locations in Pennsylvania are required to withhold and remit local income tax (EIT) and local service tax (LST) on behalf of their employees working in Pennsylvania.
