Under LC 4622, if not paid within 60 days, the amount payable should be increased by what percent together with interest at what percent?

• A. 5 percent; 6 percent
• B. 10 percent; 7 percent
• C. 15 percent; 8 percent
• D. 20 percent; 9 percent

Answer: (B)

The rule being tested is the combination of a late-payment penalty and interest on a delinquent amount. Under LC 4622, if the payable amount is not paid within the 60-day period, a 10% penalty is added to the amount due, and interest accrues on the overdue balance at 7% per year. So the total becomes the original amount plus a 10% penalty, with interest (at 7% annually) continuing to accumulate on the unpaid balance. This is why the correct option specifies a 10% penalty and 7% interest. The other percentages do not align with what the statute prescribes.