Shown verbatim: the complete text as captured from the official PDF posted by the Arkansas General Assembly, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
Stricken language would be deleted from and underlined language would be added to present law.
1 State of Arkansas A Bill
2 95th General Assembly
3 Regular Session, 2025 HOUSE BILL 1904
4
5 By: Representative Lundstrum
6 By: Senator J. Petty
7
8 For An Act To Be Entitled
9 AN ACT TO AMEND THE PENALTIES IMPOSED FOR FAILURE TO
10 COMPLY WITH THE ARKANSAS TAX PROCEDURE ACT; AND FOR
11 OTHER PURPOSES.
12
13
14 Subtitle
15 TO AMEND THE PENALTIES IMPOSED FOR
16 FAILURE TO COMPLY WITH THE ARKANSAS TAX
17 PROCEDURE ACT.
18
19 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
20
21 SECTION 1. Arkansas Code � 26-18-208(1)�(3), concerning additional
22 penalties for failure to comply with the Arkansas Tax Procedure Act, are
23 amended to read as follows:
24 (1) In the case of a taxpayer's failure to file any return
25 required by any state tax law on or before the date prescribed determined
26 with regard to any extension of time for filing the return, unless it is
27 shown that the failure is due to reasonable cause and not to willful neglect,
28 there shall be added to the amount required to be shown as tax on the return
29 five percent (5%) of the amount of the tax if the failure is not more than
30 one (1) month, with an additional five percent (5%) for each additional month
31 or fraction of a month during which the failure continues, not to exceed
32 thirty-five percent (35%) ten percent (10%) in the aggregate;
33 (2)(A) In case of a failure to pay the amount shown as tax on
34 any return required to be filed under any state tax law, except an individual
35 income tax return, on or before the date prescribed for payment of the tax,
36 unless it is shown that the failure to pay is due to reasonable cause and not
*JLL318* 03/31/2025 9:42:11 AM JLL318
HB1904
1 to willful neglect, there shall be added to the amount shown as tax on the
2 return five percent (5%) of the amount of the tax if the failure is for not
3 more than one (1) month, with an additional five percent (5%) for each
4 additional month or fraction of a month during which the failure continues,
5 not to exceed thirty-five percent (35%) ten percent (10%) in the aggregate.
6 (B) In case of failure to pay the amount shown as tax on
7 any individual income tax return required to be filed, on or before the date
8 prescribed for payment of the tax, unless it is shown that the failure to pay
9 is due to reasonable cause and not to willful neglect, there shall be added
10 to the amount shown as tax on the return one percent (1%) of the amount of
11 the tax if the failure is for not more than one (1) month, with an additional
12 one percent (1%) for each additional month or fraction of a month during
13 which the failure continues, not to exceed thirty-five percent (35%) ten
14 percent (10%) in the aggregate;
15 (3)(A)(i) If any penalty is assessed under subdivision (1) of
16 this section, then no penalty shall be assessed under subdivision (2)(A) of
17 this section.
18 (ii) If any penalty is assessed under subdivision
19 (2)(A) of this section, then no penalty shall be assessed under subdivision
20 (1) of this section;
21 (B) With respect to any individual income tax return, the
22 amount of the addition under subdivision (1) of this section shall be
23 increased by the amount of the addition under subdivision (2)(B) of this
24 section for any month or fraction of a month to which an addition to tax
25 applies under both subdivisions (1) and (2)(B) of this section, not to exceed
26 thirty-five percent (35%) ten percent (10%) in the aggregate;
27
28
29
30
31
32
33
34
35
36
2 03/31/2025 9:42:11 AM JLL318Every fact on this page links to its source, starting with the official bill record.