Peter forgot to file his tax return by April 15. He did not file an extension. Peter finally filed his tax return on July 31 and had a remaining tax liability of $3,500. What is Peter's failure to file penalty
Peter filed tax return on July 31 after forgetting to file his tax return by April 15 and did not ask for extension. This means that the IRS can impose a 20% penalty on Peter for the tax due on a return where there is negligence, as can be established in this case.
