Note:

Number of Months is input in two decimal format up to 12.00.

If a partnership or shareholder return is both late and incomplete, do not assess two penalties. The incomplete return penalty takes precedence unless the return is 12 months or more late.

Input a manual FTF assessment (TC 240 PRN 722) or abatement (TC 241 PRN 722) when the computer cannot correctly compute the penalty or when the module was previously restricted. A manual restriction is necessary when:

A late return received date was not transcribed (i.e., the return posted as being timely)

An incorrect received date posted (i.e., a timely return posted as being late)

The taxpayer states a reasonable cause for filing late

Form 1120-S - Do not compute Failure to File Penalty if:

There is a TC 160 or TC 161 posted on the module.

The TC 150 contains Condition R.

RDD/XRDD falls in a disaster period.

The return is a SFR return.