Is the interest and penalties the I.R.S. charges tax deductable?

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Is the interest and penalties the I.R.S. charges tax deductable?

Don't these fall under finance charges and interest deductions?

2007-03-11 08:48:46 · 3 answers · asked by Anonymous in Business & Finance ➔ Taxes ➔ United States

3 answers

No, there is no "finance charges and interest" deduction. The only interest you can deduct is mortgage interest, except that if you own a business, you can deduct business interest paid.

2007-03-11 09:16:48 · answer #1 · answered by Judy 7 · 0⤊ 0⤋

No, they are not deductible. Only home mortgage interest and investment interest are tax deductible. Tax penalties and interest don't qualify as either of those.

2007-03-11 15:52:09 · answer #2 · answered by Bostonian In MO 7 · 1⤊ 0⤋

No.

It falls under "you're late and now you really have to pay charges"

2007-03-11 15:56:42 · answer #3 · answered by Old guy 124 6 · 0⤊ 0⤋