U.S. Income Tax Compliance

Forms 8804, 8805, and 8813
• Penalties
– The penalty for late filing of Form 8804 is 5% of the unpaid tax
for each month or part of a month the return is late up to 25% of
the unpaid tax
– The penalty for late filing of Form 8805 is $15 per form if
corrected within 30 days up to $75,000 per year; $50 per form if
not corrected within 30 days up to $250,000; greater of $100 per
form or 10% of the amount required to be reported for intentional
disregard of the requirement with no maximum
– The penalty for failure to send Form 8805 to the foreign partner
is $50 per failure up to $100,000 or the greater of $100 per form
or 10% of the amount required to be reported for intentional
disregard of the requirement with no maximum
– The penalty for not paying tax when due is ½ of 1% of the unpaid
tax for each month or part of a month the tax is unpaid up to 25%
of the unpaid tax