William Just Did Not Like Figuring Out His Taxes Each

question 91

Essay

William just did not like figuring out his taxes each year and he usually had so little income that he didn't owe taxes. He never filed an extension even though he seldom got around to filing before October or November. He finally filed his 2017 return in September of 2018 when he remembered he had sold some stock in early 2017 for a small profit. Unfortunately, he owed $125 in taxes because of the sale. What is William's failure to file penalty?

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Definitions:

Fund Asset Gains and Losses

Changes in the value of investment holdings in a fund that impact its overall performance.

Expected Rate of Return

The anticipated return on an investment over a specific period, taking into account both the risk of the investment and historical performance trends.

Operating Income

This refers to the profit a company generates from its normal business operations, excluding any income from investments or non-recurring expenses.

Other Postretirement Benefit Expense

Expenses associated with retirement benefits other than pensions, such as healthcare benefits, recognized during the period employees receive the benefits.