Late Filing Interest Expense

Collapse
X
Collapse
 
  • Page of 1
  • Time
  • Show
Clear All
new posts
Previous template Next
  • Unregistered
    #1

    Late Filing Interest Expense

    Can you please tell me if the interest paid when filing a late return is deductible?

    Thank you in advance.
    Tags: None
    • OldJack
      Banned
      • Dec 2005
      • 1689
      #2
      NO deduction

      No it is NOT deductible as it is referred to as a "penalty" even though it is calculated as interest. The reason they call it a penalty is because you can't deduct any penalties.

        Comment

        • JG EA
          Senior Member
          • Jul 2005
          • 2176
          #3
          Interest with penalty

          This interest is considered personal interest (pub 17). Even if there is a Sch C with the return, the fact that it is late is considered personal. And personal interest is not deductible.
          JG

            Comment

            Previous template Next

            Disclaimer

            Collapse

            This message board allows participants to freely exchange ideas and opinions on areas concerning taxes. The comments posted are the opinions of participants and not that of Tax Materials, Inc. We make no claim as to the accuracy of the information and will not be held liable for any damages caused by using such information. Tax Materials, Inc. reserves the right to delete or modify inappropriate postings.

            Working...