Articles on Stock markets
News, Research and Analysis
What is IRS Notice 433 – Interest and Penalty Information?
IRS Link to Notice — Found Here
Notice 433 describes penalties and the applicable interest rates for various years of non-payment when corporate taxes are not paid in a timely manner.
This does not apply to individuals unless they are incorporated, and is not to be confused with Forms 433-A, -B, -D, or -F which are for individual purposes and concern applications for a Compromise Notice 746 updates the interest rates for more recent years.
When corporations do not pay their taxes on time, the IRS will charge penalties and interest as described in Notice 433 and Notice 746. 433 is the older version, for years prior to 2002. The information which follows is from 433. The penalty for late filing is 5% a month, the penalty for late payment is .5% a month, but combined they are limited to 5% of the unpaid tax for the month.
It also describes what interest is due to corporations which overpaid in the past and have filed a carry-back deduction for a refund. C Corporations who have a tax bill larger than $100,000 will be charged an additional 2% penalty for nonpayment.
There is also an additional penalty tax for failing to contribute to railroad retirement and pension funds that may range from 2% to 15%, depending on how late the contribution is. This is not to be Confused with Forms series 433, which has to do with Offers in Compromise, which is a petition to repay a lesser amount of taxes that what is due.
What is an "Ex-Dividend"?
Ex-Dividend is a classification on a stock that indicates the dividend payable is to the seller of the stock, not the buyer
What is Sharpe Ratio?
Sharpe Ratio reduces the two measures of mean and variance into one value that to indicate how much return is expected
What is Adjusted Book Value?
Adjusted Book Value takes true fair market value of all assets and liabilities into account. Used when facing bankruptcy
If I Want to Establish a SIMPLE IRA, Do I Have to Establish One for All Employees of My Business?
If you decide to establish a SIMPLE IRA, every eligible employee must be offered a SIMPLE IRA account
How Do I Prepare a Will?
More complicated wills usually require the help of an attorney who can help you and guide you through the process
What is the Federal Reserve System?
The Federal Reserve System is sometimes referred to as one bank, but it is in fact a network of 12 banks with 24 branches
What is the Home Market Effect?
The home market effect (HME) is a theoretical term used in trade theory economics, describing the concentration of an...
How to use Open Interest in trading
Open interest, or OI, can be a very important number for futures, options, and other derivative markets. Open Interest is technically more like the number of outstanding shares
What are Some of the Biggest Bankruptcies in Recent History?
Before Lehman Brothers and Bear Sterns, probably the most well-known and publicized bankruptcy was the Enron scandal