What are the potential penalties for failing to maintain 6662 documentation in the US?
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Tax Professional Answers
Robert Bachmann, MBA, CFA
A penalty only occurs if there is determined to be an adjustment. A penalty of 20% of the adjustment occurs if the adjustment is due to negligence. A penalty of 40% of the adjustment can occur in the IRS determined the taxpayer was willfully misleading in their position. All penalties are avoided if documentation is in place.Leave a Comment 63 weeks ago