Jennie received a 6-month extension (to October 15, 2021) to file her 2020 tax return. Jennie actually filedthe return on November 20, 2021, paying the $20,000 amount due at that time. She has no reasonablecause for failing to file the return by October 15 or for failing to pay the tax that was due on April 15, 2021.How much is the failure-to-pay penalty?Question 17 options:a) $800b) $700c) $2,000d) $1,000

The failure-to-pay penalty is a penalty imposed by tax authorities when a taxpayer fails to pay the…

Answered: Jennie received a 6-month extension (to…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Benita is concerned that she will not be able to complete her tax return by April 15. Can she request an extension to file her return? By what date must she do so? Assuming she requests an extension, what is the latest date that she could file her return this year without penalty? Answer: Yes, Benita can file an automatic six month extension to file her tax return
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