Partner penalties

[DTS]

Does the filing of an extension for a partnership exclude the partners from the $50 per partner, per 5-month penalty?

Thanks, Dennis

[Matt Sova]

Extension

Yes it does. The other thing that exempts them is the fact that the penalty only applies to partnerships with 10 or more partners, even though the IRS sends them to any partnership that files late without an extension.

[DTS]

Matt

Thank you, Matt. I wanted to make sure as I had two calls this week that wanted to file for the extensions. One of them got this letter you spoke of last year, so I did not want to deal with that again this year.

Dennis