3 Big Questions People Ask After Tax Day
Tax Day has passed, but that doesn’t mean all of your tax issues have been resolved. Here are answers to three popular questions taxpayers ask post-tax season:
1. What happens if I didn’t file on time?
There’s no penalty for filing a late return after the tax deadline if a refund is due. However, penalties and interest accrue on unfiled returns if taxes were not paid by the deadline.
File as soon as you can because the penalties can pile up pretty quickly. The failure-to-file penalty is usually 5 percent of the unpaid amount added for each month (or part of a month) that a return is late.
You may qualify for penalty relief. Review the first-time penalty abatement requirements to see if you qualify.
2. How can I fix an error on my tax return?
Use Form 1040X to amend your tax return.
The IRS suggests you wait for your original tax return to be processed before you file an amended return if you’re expecting a refund this year.
People most often file amended returns to change filing statuses or to correct income, deductions or credits shown on the tax returns they originally filed.
3. What do I do if I owe taxes or need to make a payment?
You have many options to pay: IRS direct pay, debit or credit card, or you can apply online for an IRS payment plan. You can also view your balance on the IRS website.
Questions about the tax return we helped you with during the 2017 tax season? Give us a call.