Tax penalties for failure to file are:
✓ Correct Answer: Option B
Failure to file: 5% per month (max 25%). Failure to pay: 0.5% per month (max 25%). Filing late is penalized more heavily.
Failure to file: 5% per month (max 25%). Failure to pay: 0.5% per month (max 25%). Filing late is penalized more heavily.