User's Manual - Drake Software

Features for Late-Filed Returns
Drake Software User’s Manual
Figure 5-60: Interest and Penalty Calculation section
(Setup > Options > Optional Items on Return)
3. Click OK. The program will now calculate penalties and interest on all late
returns calculated.
“On the Fly”
Option
The per-return option can be used if the global option shown in Figure 5-60 is not
selected. To have the program calculate penalties and interest for a single return:
1. Open the client’s file in Drake and go to the LATE screen (accessible from the
Taxes tab).
2. Mark the Calculate penalties and interest on this return box (Figure 5-61).
3. Complete the Date return was filed text box (Figure 5-61). If this field is blank,
the program uses the Date balance paid entry from the 2210 screen by default.
Figure 5-61: The LATE screen (accessible from the Taxes tab)
Other LATE
Screen
Features
You can also use the LATE screen to override these additional default settings:
• Including calculated amounts elsewhere — By default, the calculated amounts
are incorporated into the payment voucher, filing instructions, and client result letter
for the return. To override this default, go to the LATE screen and mark the Do
not carry P&I box (Figure 5-61).
• Suppressing calculation “on the fly” — If the option to calculate penalties and
interest for all late returns is selected in Setup > Options > Optional Items on
Return tab, and you want to suppress the calculation for a single return, mark the
Suppress calculation... box at the top of the LATE screen (Figure 5-61) for that
return.
• Due date of return — An entry here overrides the default of April 15 of the year
the return is due. (An override would be necessary for a special circumstance,
182 Tax Year 2012