The penalties for not depositing withheld taxes on time varies based on how late the deposit is finally made. 1 – 5 calendar days late is 2% of the unpaid amount. 6 – 15 calendar days late is 5% of the unpaid amount. Over 15 calendar days late = 10% of the unpaid amount. Over 10 calendars days after a first notice is 15% of the unpaid amount