Missed The Tax Deadline?
If you missed the April 15th tax deadline, take a deep breath. No need to panic!
Here are a few tips straight from the IRS to assist you:
- File ASAP.
If you don’t owe any money, there is no penalty for missing the filing deadline. If you do owe money you will have to pay penalties and interest – but the sooner you file, the less you will have to pay.
- You may qualify for free brand-name tax software.
If you made under $60,000 last year (Adjusted Gross Income, or AGI), you may qualify for free software with many options to choose from. If you made over $60,000, you can file on paper with the IRS’s Free File Forms. All of the information is available at IRS.gov. Free File is only available until Oct 15th.
- Pay as much as you can when you can.
Penalties and interest accrue monthly; the quicker you can pay off your tax owed, the less you will ultimately have to pay.
- Set up a payment agreement with the IRS.
If you need more time to pay the IRS offers formal payment agreements. You can apply for one through their Online Payment Agreement Tool or by mailing them Form 9465. They do charge a fee for this service of at least $43; full information is available at IRS.gov.
- You may be owed a refund.
Refunds don’t last forever; you only have 3 years to claim them. You can’t be absolutely sure you are not owed a refund unless you actually do your taxes. You may have had too much withheld from your paycheck, or may qualify for certain specific tax credits. If you don’t file for the refund within 3 years you forfeit your right to the money. But the good news is that if you haven’t filed in the last 3 years or you think you made a mistake and need to refile, you can still claim a refund from as far back as 2012.
- It’s not too late to file online.
You have until Oct. 15th to e-file through the IRS’s website or one of the many popular versions of tax software. If the IRS rejects your refund for any reason, you have until Oct. 20th to correct and resubmit. Past those dates you would need to file a paper return. When you e-file you receive confirmation that the IRS received your tax return. If you e-file and choose direct deposit of your refund, you’ll normally get it within 21 days.
Small Business Benefits from Alliance
Alliance Direct Benefits members can get free online unlimited access to CPA advice for your tax questions and concerns from a tax professional. Small Business owners can also save $15 on TurboTax Online if you are doing your taxes yourself. Our Tax Savings Program also provides a one-stop shop for tax advantaged benefit plans depending on the size of your business. Not a member yet? Join the Alliance today and get immediate online access multiple small business benefits.
This article is meant to provide general advice and does not constitute suggestions for your personal situation. Please check with your accountant or professional tax preparer for advice regarding your unique situation.