What are the penalties for late filing of the Virginia corporation income tax return and late payment of the tax?
For taxable years beginning on or after January 1, 2005, an automatic six-month filing extension is allowed for corporations filing on Form 500 or Form 502. No paper application or online application for extension is required. The extension provisions do not apply to payment of any tax that may be due with Form 500. To avoid penalties, Form 500 filers must pay at least 90% of their final tax liability by the original due for filing the return. The payment must be submitted on Form 500CP. Late filing penalties apply to returns that are filed more than six months after the original due date of the return. For “C” corporations, the late filing penalty is assessed on the tax due at a rate of six percent per month, from the due date through the date of payment. The minimum penalty is $100, and the maximum penalty is 30 percent. The penalty for late payment is assessed at the same rates, but does not apply to any month for which a late filing penalty has already been assessed. The maximum am
