It is easy to put off filing your taxes. Life is jam packed with places to see and things to do. Find the time to organize your tax information and complete your report may seem difficult.
If you're like many people, it is not difficult to find reasons to procrastinate all kinds of things you must do, including filing your taxes.
If you wait too long and miss the 18 (2016) April deadline, you may wonder if you should just skip the total deposit. We've all heard of someone who does not file - never . They go years without income statement or filing a tax return, and they get away with it. If they can do it, why not you?
In this case, really is better than ever and delay filing, even if it is after the deadline, is the best course of action. Here is a closer look why you should not just opt out.
is harder than ever to get out without paying.
IRS can be great and sometimes slow, but the agency has one thing on its side: information. An incredible amount of information is fed into computers to the IRS each year, and there is a good chance some of this information about you.
For example, each year your employer sends a copy of your W-2 form to the IRS. The agency then waiting, waiting for a return of tax you based on your wages shown on the W-2.
In addition, banks, companies and investment firms send Form 1099 to the IRS to report different types of income that you received throughout the year. If you sell real estate, the IRS receives a form showing how much you received from the sale.
It may take some time for the IRS to match your income with your tax return, but they will eventually. If you file your return, they will understand that too.
The late drop on your taxes creates unnecessary stress.
Get behind the bill is stressful. Delay the filing of your return (s) of the tax and pay your bill (s) Tax may feel even worse. Fortunately, stress that you can avoid.
With TaxAct, you can file your return before it is due and to feel confident that the program helped find all possible deductions and tax benefits. And later, if you think you may have missed something, you can always change your return. Remember that you are better deposit before the deadline so that you can avoid paying penalties and interest that may come with the late filing.
The longer you wait, the more severe consequences.
Once the IRS determines that you must have filed a declaration and has not, you will start to hear them. You will probably receive IRS notification letter stating that you will be penalized for not filing a return.
The IRS can also create a return for you. For example, if your employer has reported wages, the IRS can create a tax return showing wages. The catch? The IRS does not know all the deductions or other tax benefits you deserve. They usually know only your income, unless you straighten things you could end up paying a lot more taxes than you should.
If the IRS does not hear from you once you have been contacted, things can become more serious. Your bank may send you a notice that your money was seized by the IRS. The agency may also put a lien on your property or garnish your wages. And all this time, interest and penalties accumulate, which means that the IRS can take more of your money.
What if I do not have to, or I could have a refund?
The IRS has strict guidelines in place stating that needs to file a tax return. If your income is at or above the minimum income requirement, you will need to file, even if you think you owe nothing, or receive a refund. You have three years from your filing deadline for filing a refund.
But there is more. Thank you to certain credits, such as Earned Income Tax Credit, you may be entitled to a refund, even if you are not required to file. In this case, you will not get a refund if you do not file a return, so it may be in your interest to do so.
It is preferable to deposit now, even if you can not pay.
Some people avoid filing because they can not afford to pay the tax bill. However, you should still file on time even if you can not pay all taxes due. If you wait, you'll face a late-filing penalty is just one thing you have to pay. The default file penalty is 5 percent per month based on the amount of tax you owe.
If you are unable to pay your tax bill quickly, the IRS of installment plans. Approval of a payment plan is automatic if you have $ 25,000 or less can prove that you can not pay the full amount you owe when it is due and you are able to pay the tax in three years or less. In addition, you or your spouse can not have had an installment agreement with the IRS over the past five years.
0 Komentar