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(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 1.5% per month or fraction thereof.
(b) In addition to the interest provided in division (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 required returns or information filings as required under the provisions of this chapter, are as follows:
(1) For failure to pay taxes due, other than taxes withheld or required to be withheld, 10% of the total tax due.
(2) For failure to remit taxes withheld or required to be withheld from employees, 5% per month up to a maximum of 100% of the total tax due.
(3) For failure to file a declaration of estimated tax by the due date, ten dollars ($10.00). For late payment of the quarterly estimated tax, 5% of the total tax due.
(4) For failure to file an income tax return, twenty-five dollars ($25.00) beginning the first day after the filing due date. Fifty dollars ($50.00) penalty will be imposed for any income tax return filed more than 60 days beyond the filing due date.
(5) For failure to file the employer's reconciliation of income tax withheld, twenty- five dollars ($25.00) per month (or fractional part thereof) beginning the first day after the filing due date up to a maximum of one hundred dollars ($100.00).
(6) For failure to file Federal Form 1099s as required by this chapter, ten dollars ($10.00) per month (or fractional part thereof) up to a maximum of one hundred dollars ($100.00).
(c) A penalty shall not be assessed on an additional tax assessment made by the Tax Administrator when a return has been filed in good faith and the tax paid thereon within the time prescribed herein. In the absence of fraud, neither penalty nor interest shall be assessed on any additional tax assessment resulting from a Federal audit, provided that 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 Administrator is hereby given the authority to abate any of the penalties imposed by this section, upon written request of the taxpayer, and subject to the provisions of this section. Such abatement is authorized whether in part or in full. The Administrator may promulgate reasonable rules and regulations governing the abatement of penalties.
(1) Any penalty imposed by this section may be collected by assessment under Section 890.111. Any request for abatement of a penalty so assessed shall be made within 30 days of service of the assessment and shall follow the procedures of Section 890.111.
(2) In the case of a taxpayer who pays all tax, penalty and interest with the filing of his return, a request for abatement may accompany the return. In any event, payment in full of all taxes, penalties and interest due and the filing of all required returns or documents on the taxpayer's account must be made prior to filing petition for abatement or reduction of penalties assessed. NOTE: Under no circumstances will the interest imposed by this chapter be reduced or abated. Filing of a petition requesting penalty abatement or reduction must be filed within 30 days of the full payment of the tax, penalty and interest due. Under this subsection, the Administrator may act upon the abatement request immediately, hold an immediate hearing with the taxpayer or may continue the hearing or action on the request to a later date at his discretion or at the request of the taxpayer.
(e) A fee of twenty-five ($25.00) dollars shall be imposed and collected for any check, including electronic, written or submitted for the payment of City, JEDZ or JEDD income taxes, penalties or interest which is returned by the bank for insufficient funds or for any other reasons. The City, JEDZ or JEDD may refuse to accept personal checks from anyone who has been subject to this bad-check fee.
(Ord. 01-52. Passed 11-19-01; Ord. 05-48. Passed 9-6-05; Ord. 09-71. Passed 12-21-09; Ord. 10-34. Passed 12-6-10.)