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in this video im going to discuss a topic in income taxation entitled penalties for late filing or payment of tax and taxpayers on or before the deadline case what are the penalties for late filing or payment of tax we have three penalties and they are surcharge interest and compromise penalty i will first discuss the surcharge the surcharge is 25 of the basic tax for failure to file or pay deficiency tax on time or 50 for willful neglect to file and pay taxes the 25 percent surcharge is for simple neglect an ebic sabine and simple neglect i am nakapagna nang tax return and taxpayer notice from the bir that is a simple neglect and it is subject to 25 percent surcharge an ebik sabihin amanda will full neglect so this is the contrast or the opposite of simple neglect [Music] receipt of notice before the actual filing lets proceed to the interest effective january 1 2018 the interest penalty is 12 per annum but before january 1 2018 the interest penalty is 20 per annum because the natio