Every year from January 1st to April 15th in the United States, about 144.3 million taxpayers are mandated to file a document that reports income, expenses, and other important financial information. This document is called a tax return. The period when all these activities take place is known as tax season. Tax returns permit taxpayers to compute their tax bills and request refunds for overpayment of taxes, and schedule payments. Actually, tax filing is not mandated for everyone. However, you have to meet up to a threshold gross income before you can file a tax return.

• For singles under 65 and above 65, the least gross income is $12,550 and $14,250, respectively.
• For Head of household under 65 and above 65, the least gross income is $18,800 and $20,500, respectively.
• For married couples filing jointly where both spouses are under 65, the least gross income is $25,100.
• For married couples filing jointly where one spouse is 65 or older, the least gross income is $26,450.
• For married couples filing jointly where both spouses are older than 65, the least gross income is $27,800.
• For married couples filing separately, who are of any age, gross income is $5.
• For qualifying widow(er), under 65 or above 65, least gross income is $25,100 and $26,450 respectively.

It’s no news that taxpayers dread tax season because of the stress accompanied by its numerous paperwork. It requires so much time and dedication. It’s for this reason many seek the services of tax professionals. The IRS once reported that slightly more than 50% seek the services of tax experts for filing their tax returns. Individuals are not just mandated to file only federal returns but also state and, in some cases, local tax returns. Hence, the tax season can be hectic for these tax professionals.

What Is The Tax Filing Deadline?

The tax filing deadline is April 15th. However, this can be affected by several factors, such as if it falls on a weekend, Washington D.C. Emancipation Day, Maine and Massachusetts Patriot’s Day, the location of the IRS filing centers, etc. All these factors can affect the tax deadline.

What Happens If I Miss The Tax Filing Deadline?

April 15th is the date set as the tax deadline by the IRS. The majority of taxpayers succeed in filing their returns before this said date, but a few may not. According to the IRS, no sanction is attached for late tax filing if you are expecting a refund. However, there is a penalty when you owe the IRS and miss the tax returns deadline. Are you currently among the categories of the” few” who missed the tax deadline? You might be wondering how to file late taxes. Below are some tips that can benefit you in times like this.

1. You Should File As Quickly As You Can:

Regardless of whether you owe the IRS or seek a refund, you should file your returns as soon as possible. If you owe taxes, you should file your returns immediately so as to reduce the additional charges accumulated due to delay. On the other hand, if you owe no tax bill but you seek to get your refund, you should submit and file your returns immediately since it’s the chance you have to get back the excess money you have paid to the IRS. The IRS gives a maximum of three years (starting from the original tax deadline date) for people to submit tax returns and claim refunds. Afterward, you won’t be able to claim your refunds. Hence, you may lose your money if you don’t take filing immediately with a sense of urgency.

2. Be Aware Of The Penalties And Fees:

After April 15th, tax returns submitted are subject to late penalty fees and interest charges. Hence once you miss the deadline, you should know the penalties and fees you will most likely incur. When you owe the IRS or fail to file your returns, you will face a failure to file penalty or a failure to pay penalty, respectively.

• Failure to file: When you fail to file your returns, the IRS will sanction you 5% of the amount you owe for each month you delay. However, the penalty gets to a maximum when you are five months late. Thus the maximum penalty is 25% regardless of how much the delay lingers.
• Failure to pay: When you fail to pay what you owe, you will be charged 0.5% of your unpaid taxes for each month. However, this penalty won’t go beyond 25% of what you owe in taxes.

Some situations can occur where both sanctions apply in the same month. When this happens, the IRS will reduce the failure to file penalty by the amount of the failure to pay penalty applied in that month.

The IRS can grant penalty relief to taxpayers who have consistently filed their tax returns before the due tax filing deadline. Provided they can give reasonable reasons while they filed their returns late, the IRS may waive the penalties.

3. Set Up A Payment Plan If You Can’t Pay Your Tax Bill:

You should never make the mistake of not filing your returns because you cannot foot your tax bills. Tax experts recommend you file your tax returns regardless. You can always set up a payment plan with the IRS. The IRS payment plan permits individuals who owe taxes to pay within a given time. There are two payment plans:

• Short-term payment plan: This plan applies to individuals who owe less than $100,000. You will have 180 days to pay your taxes. If you qualify for the short-term payment plan, you will not be charged a setup fee.
• Long-term payment plan: The payment period is 72 months. The amount owed is less than $50,000 in combined tax, penalties, and interest.

In conclusion, in the United States, taxes deadline is  April 15th.  If you ever fail to file your return before the due date, you should file soon as possible. Failure to file your tax return within the date may attract sanctions. Do you have some tax filing questions? You can search and connect with a licensed tax expert on the biggest IRS Enrolled Agent lookup. They certainly will clarify your tax situation, no matter how complex.