(a) All taxes imposed by this chapter and remaining unpaid after they become due shall bear interest, in addition to the amount of the unpaid tax, at the rate of one and one-half percent (1 ½%) per month or fraction thereof.
(b) In addition to interest as provided in subsection (a) above, penalties based on unpaid tax from taxpayers, monies withheld or required to be withheld by employers under the provisions of this chapter, and for failure to file returns or information filings as required under the provisions of this chapter, are hereby imposed as follows:
(1) For failure to pay taxes due, other than taxes withheld, ten percent (10%) of the total tax due.
(2) For failure to remit taxes withheld or required to be withheld, five percent (5%) per month up to a maximum of one hundred percent (100%) of the total tax due.
(3) For failure to file a declaration of estimated tax, five dollars ($5.00) per quarter of any reporting year.
(4) For failure to file a yearly final return, twenty-five dollars ($25.00).
(5) For failure to file employer’s reconciliation of income tax withheld, twenty- five dollars ($25.00).
(c) A penalty shall not be assessed on an additional tax assessment made by the Tax Commissioner when a return has been filed in good faith and the tax paid thereon within the time prescribed by the Tax Commissioner; and provided further, that, in the absence of fraud, neither penalty or interest shall be assessed on any additional tax assessment resulting from a Federal audit, providing an amended return is filed and the additional tax is paid within three months after final determination of the Federal tax liability.
(d) The Tax Commissioner may abate penalties and interest imposed by this section, and may promulgate reasonable rules and regulations governing the abatement of penalties and interest. Such abatement is authorized whether in part or in full.
(Ord. 87-01. Passed 11-19-01.)