North Carolina DOR Issues Information Addressing Erroneous Penalties on Individual Income Tax Returns

The North Carolina Department of Revenue (DOR) Oct. 1 issued information addressing erroneous penalties on individual income tax returns. The DOR identified an issue that caused some taxpayers to receive notices with erroneous penalties for failure to timely file their returns. The issue impacts income taxpayers who certified on their electronically filed returns that they obtained an automatic extension to file their federal tax returns. The DOR rectified the problem for newly filed returns. However, returns processed before the identification of the issue are impacted. Taxpayers who have been assessed a penalty in error should contact the DOR. [N.C. Dep’t ...