Which of the Following Statements Regarding Late Filing Penalties And/or

question 154

Multiple Choice

Which of the following statements regarding late filing penalties and/or late payment penalties is true?

• A) An extension of time to file the tax return protects a taxpayer from late payment penalties as long as the tax is paid by the extended due date of the return.
• B) The penalty rate for late filing penalties is less than the penalty rate for late payment penalties.
• C) If a taxpayer has not paid the full tax liability by the original due date of the return and the taxpayer has not filed a tax return by the due date of the return, the maximum late filing and late payment penalty will be no greater than the late filing penalty by itself.
• D) None of these

---

Definitions:

Bargaining Power

The ability of a party to exert influence over another party in negotiations to obtain favorable terms.

Continue Operations

The process of maintaining business activities without interruption.

Union Stewards

Elected representatives of a union's membership who serve as the first point of contact between the union and the employees.

Full-Time Employees

Workers who are employed in a capacity that typically requires a significant number of hours per week, usually considered to be at least 35-40 hours.