What are the consequences of depositing federal income tax withholding and FICA late?
For amounts not properly or timely deposited, the penalties are as follows:
- 2% - Deposits made 1 to 5 days late.
- 5% - Deposits made 6 to 15 days late.
- 10% - Deposits made 16 or more days late. Also applies to amounts paid within 10 days of the date of the first notice the IRS sent asking for the tax due.
- 10% - Deposits made at an authorized financial institution, paid directly to the IRS, or paid with your tax return.
- 10% - Amounts subject to electronic deposit requirements but not deposited using EFTPS
- 15% - Amounts still unpaid more than 10 days after the date of the first notice that the IRS sent asking for the tax due or the day on which you received notice and demand for immediate payment, whichever is earlier.