Question

Victoria’s 2021 tax return was due on April 15, 2022, but she did not file it until June 12, 2022. Victoria did not file an extension. The tax due on the tax return when filed was $8,500. In 2021, Victoria paid in $12,000 through withholding. Her 2020 tax liability was $11,500. Victoria’s AGI for 2021 is less than $150,000. How much penalty will Victoria have to pay (disregard interest)?

Answer 1

Based on the information the amount of penalty that Victoria will have to pay is $850.

Penalty amount:

Using this formula

Penalty amount=(Tax return×Tax rate)×2

Where:

Tax return=$8,500

Tax rate=5%

Let plug in the formula

Penalty amount=( $8,500 x 5%) x 2

Penalty amount=$425×2

Penalty amount=$850

Inconclusion the amount of penalty that Victoria will have to pay is $850.

Learn more about penalty here:brainly.com/question/1178265