How often is the late filing penalty calculated when a report is late?

• A. For each 30 days or portion thereof
• B. Only once
• C. Monthly
• D. Annually

Answer: (A)

Late filing penalties are assessed in fixed time increments of 30 days. Each 30-day period, or any part of one, after the due date adds another penalty. So the total penalty grows with the number of 30-day blocks that pass while the report is late. For example, a report filed 45 days late crosses into a second 30-day block, so you’d owe two penalties. If it’s only 1–30 days late, you’re in the first block and pay one penalty. This per-30-day or portion methodology explains why the correct answer is that the penalty is calculated for each 30 days or portion thereof.