AZDOR Message Regarding Informational Returns

Information return penalty change

Effective on January 1st Information Return penalties will change.  If you file the A1-R, Form 165, Form 120S (when the S Corporation is not subject to tax), or Form 99, you need to be aware of these changes.  The penalty for failing to file, filing late (including extensions) or filing an incomplete Information Return is $100 for each month, or part of a month, that the failure continues, up to a maximum penalty of $500.  Additional information on the penalties is available in the instructions for the forms or from Taxpayer Information and Assistance at 602-255-3381. 

What you need to know!

Information Return penalties will change effective 1/1/2009. 

What is an Information Return?
An information return is one that provides filing information but generally does not require payment.  These forms include the A1-R Annual Withholding reconciliation, the Form 165 Partnership return, the Form120S S-Corporation Income Tax return (when the S Corporation is not subject to tax), and the Form 99 Exempt Organization return.

What are the new penalties?
The penalty for failing to file, filing late (including extensions) or filing an incomplete information return is $100 for each month, or part of a month, that the failure continues, up to a maximum penalty of $500.

How can I pay the penalty?
Each return has a line to enter the amount of the penalty due.  Payment can be remitted with the filed return.

How can I get more information?
A discussion of the penalties is included in the instructions for all of the Information Returns.  Additional information is available from Taxpayer Information and Assistance.  They can be reached by telephone at 602-255-3381.