§ 44-11-26 - Pecuniary penalty for failure to file return or to pay tax or for negligence.
SECTION 44-11-26
§ 44-11-26 Pecuniary penalty for failureto file return or to pay tax or for negligence. – (a) In the case of any failure to file a return within the time prescribed bylaw, there shall be added to the tax five percent (5%) if the failure is fornot more than one month, with an additional five percent (5%) for eachadditional month or fraction of a month during which the failure continues, notexceeding twenty-five percent (25%) in the aggregate, except that when a returnis filed after the time prescribed by law and it is shown that the failure tofile the return at the prescribed time was due to reasonable cause and not dueto willful neglect, no addition to the tax shall be made.
(b) In the case of any failure to pay the tax as imposed bythis chapter with the return on or before the date prescribed by law(determined with regard to any extension of time for payment), there shall beadded to the amount shown as tax on the return five-tenths percent (0.5%) ofthe amount of the tax if the failure is for not more than one month, with anadditional five-tenths percent (0.5%) for each additional month or fraction ofa month during which the failure continues, not exceeding twenty-five percent(25%) in the aggregate, except that when the failure is due to reasonable causeand not to willful neglect, no addition to the tax shall be made.
(c) In the case of any failure to pay any amount in respectof any tax required to be shown on a return, which is not shown, including anassessment made as a result of mathematical error, within thirty (30) days ofthe date of the notice and demand, there shall be added to the amount of taxstated in the notice and demand five-tenths percent (0.5%) of the amount of thetax if the failure is for not more than one month, with an additionalfive-tenths percent (0.5%) for each additional month or fraction of a monthduring which the failure continues, not exceeding twenty-five percent (25%) inthe aggregate, except that when the failure is due to reasonable cause and notto willful neglect, no addition to the tax shall be made.
(d) If any part of a deficiency is due to negligence orintentional disregard of the Rhode Island business corporation tax law or rulesor regulations hereunder, but without intent to defraud, five percent (5%) ofthat part of the deficiency shall be added to the tax. This amount shall be inlieu of any other additional amount imposed by subsection (b) of this section.