PENALTY & INTEREST ON
If excise tax is not paid within 30 days of a sale, interest is due.
Interest will be imposed from the date of sale to the date of full payment.
It is calculated on a monthly basis, with a full month's interest accruing at
the beginning of each month. Even if the full payment is not made at the
end of a month, any portion of a month existing at the time of full payment will
accrue a full month of interest.
imposed before January 1, 1999 is computed at a rate of 1% per month or portion
of a month.
imposed after January 1, 1999 is computed at the rates listed below.
addition to interest, penalty will also be applied if the excise tax is not paid
within 30 days of the sale, Penalty is imposed on the total amount of
the unpaid excise tax (both state and local). The rates are listed below:
|Within 1 month of sale date:
|| 5% of the base excise tax
|Within 2 months of sale date:
||15% of the base excise tax
|Within 3 months or more of sale
||25% of the base excise tax
If you have questions or need assistance calculating penalty and interest,
please contact our office. If you are a title company or attorney's
office, please refer to Item #1 of the
Real Estate Excise Tax Supplemental Statement.