If you are anticipating a significant tax refund, you likely filed your taxes at the first possible chance you got. However, on the other hand, if you believe you will owe a substantial amount of taxes, you may spend months dreading “Tax Day” and may put off filing as long a possible. Unfortunately, this procrastination often results in missing the tax deadline altogether, especially if your taxes are complicated. You cannot expect to gather all of the necessary information and get an appointment with a trusted tax professional all on the very last day.
Once you miss the tax deadline, it becomes easy to try to ignore the problem. Often, people do not want to face the potential penalties of late taxes or do not want to be accused of any misconduct by the IRS. If you never file that return, you may be hesitant to file next year’s return, hence you draw attention to the previous year’s omission. In this manner, not being prepared for April 15th can lead to years of unfiled taxes and possibly steep consequences from the IRS.
Instead of ignoring your taxes, if you think you may be late in filing, you can always file for an extension. The process of doing so is relatively simple and you can obtain an extension through the e-filing process, which will give you an extra six months to prepare your returns. However, an extension does not delay the due date for payment of your tax debt. If you do not pay your estimated tax debt by the regular Tax Day, you may owe:
- Interest on the amount owed
- A late fee if you still owe more than 10 percent of your overall yearly debt
One the other hand, if you have your taxes ready and you simply cannot afford the tax liability, you should discuss your options with an experienced IRS free tax consultation attorney. They can advise you how to best proceed with your partial payment and in addressing any leftover debt. Call Attorneys Tax Relief LLC at 800-819-6866 to discuss your tax-related legal needs today.