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Owing to some back and forth messaging, calls and wrangling between me and the folks who are helping me do my tax filing, they haven't filed my e-file yet. I owe money to the IRS, and now we're past the deadline, and I'm trying to close the file asap and file it.
But we're past the deadline and it's making me somewhat flustered. Will I get in legal trouble? The turbo tax website says we can efile till Oct 2011, so case closed, but it also says "if you filed for an extension"
So, question, does the filing for extension have to happen prior to the Apr 21 deadline? I am sure the guys I am working with may not have filed for such an extension...... is one allowed to file for the extension, say Monday, given that we are past the deadline.
You have to file for the extension before April 18th. If you owe money, you have to pay prior to then (the total you owe or 110% of last year's tax liability) in order to not get hit with penalties and interest. If you didn't file the extension form (4868, i think), you'll get hit with failure to file too.
Antlered, I'm not sure what April 21st deadline you are referring to. But as VJP said, you should have had the extension filed by the 18th, along with any money you think you owe.
If the people doing your taxes didn't do that, then I'd find someone else to do your taxes!
Here is some info on extensions and penalties, interest, etc.
You can still (and should) file the extension TODAY. with a check for the estamated (payment) Tubro tax will generate the extention form for you . Get the Form & Check in the mail TODAY. I've heard that the IRS does not start looking at the dates on the mail till a few days after the 20th. But if you get your Extention form & check in NOW the intrest/1% failure to file will be minimal.
Thanks for the responses. But help me understand, the worst thing that can happen is paying extra penalty in terms of "money", right?
Does penalty involve other things like putting the taxpayer on a black list, or affecting other legal prospects like they do with credit history and the like??
My American citizenship process is in progress and will this put a black mark for the officials to see
Thanks for the responses. But help me understand, the worst thing that can happen is paying extra penalty in terms of "money", right?
Does penalty involve other things like putting the taxpayer on a black list, or affecting other legal prospects like they do with credit history and the like??
My American citizenship process is in progress and will this put a black mark for the officials to see
There is no way that black mark is going to show up in the mired bureaucracy of the US government and its respective IT systems. It took the state of New York six years to obtain a tax return from the IRS in order to attempt to get me to pay penalties I didn't owe. I wouldn't worry about it, especially since I believe you intend on paying. That's all they care about.
To answer your question, yes, money. From google:
Failure to File Penalty
The failure-to-file penalty is calculated based on the time from the deadline of your tax return (including extensions) to the date you actually filed your tax return. The penalty is 5% for each month the tax return is late, up to a total maximum penalty of 25%. The percentage is of the tax due as shown on the tax return. If your tax return is more than five months late, simply multiply your balance due by 25% to calculate your failure to file penalty.
Failure to Pay Penalty
The failure-to-pay penalty is calculated based on the amount of tax you owe. The penalty is 0.5% for each month the tax is not paid in full. There is no maximum limit to the failure-to-pay penalty. The penalty is calculated from the original payment deadline (the original April 15th filing deadline) until the balance due is paid in full.
Interest
Interest is calculated based on how much tax you owe. Interest rates change every three months. Currently, the IRS interest rate for underpayment of tax is 4% per year. The interest is calculated for each day your balance due is not paid in full.
A few days late won't matter (other then the money). If don't File/pay Yes it would effect getting your US Citz.
I hope to close all payments asap, though we're past deadline, so I hope it's not a problem for the future
Quote:
Originally Posted by VJP
There is no way that black mark is going to show up in the mired bureaucracy of the US government and its respective IT systems. It took the state of New York six years to obtain a tax return from the IRS in order to attempt to get me to pay penalties I didn't owe. I wouldn't worry about it, especially since I believe you intend on paying. That's all they care about.
To answer your question, yes, money. From google:
Failure to File Penalty
The failure-to-file penalty is calculated based on the time from the deadline of your tax return (including extensions) to the date you actually filed your tax return. The penalty is 5% for each month the tax return is late, up to a total maximum penalty of 25%. The percentage is of the tax due as shown on the tax return. If your tax return is more than five months late, simply multiply your balance due by 25% to calculate your failure to file penalty.
Failure to Pay Penalty
The failure-to-pay penalty is calculated based on the amount of tax you owe. The penalty is 0.5% for each month the tax is not paid in full. There is no maximum limit to the failure-to-pay penalty. The penalty is calculated from the original payment deadline (the original April 15th filing deadline) until the balance due is paid in full.
Interest
Interest is calculated based on how much tax you owe. Interest rates change every three months. Currently, the IRS interest rate for underpayment of tax is 4% per year. The interest is calculated for each day your balance due is not paid in full.
Thanks
I do intend to pay everything I owe. It's just that I'm a lazy slacker and I have been getting out of control, of late. My tax guys had sent me all the docs much earlier, I was simply held up with work and was too busy. And somehow it has come to this state.
Standard caveat / crazy idea: instead of taking legal advice from strangers over the web, you probably should be trying to get this info directly from the IRS. http://www.irs.gov Click on Individual. We're a pretty smart bunch, but how do you know that what we're telling you is correct?
Standard caveat / crazy idea: instead of taking legal advice from strangers over the web, you probably should be trying to get this info directly from the IRS. http://www.irs.gov Click on Individual. We're a pretty smart bunch, but how do you know that what we're telling you is correct?
If You Didn?t File or Request an Extension by the Deadline (http://www.irs.gov/newsroom/article/0,,id=206486,00.html?portlet=7 - broken link)
Got it. It makes me feel somewhat better. I owe money, but I intend to pay it all at the earliest, just that I didn't expect I'd wake up like Rip Van Winkle, my fault
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