What to Do If You Missed the Tax Deadline
April 18, 2012 : Darla Tierney
Hello, it is April 18th. Which means the tax deadline was yesterday. At this point, the IRS will deny any requests for extensions — but don’t freak. You still have options.
You can still file. All hope is not lost. In fact, if you’re due a refund, there is no penalty for filing late (but keep in mind that there’s a 3-year window before you forfeit your refund, so be sure to file before April 15, 2015).
You’ll be subject to a late filing penalty: 5 percent of your unpaid balance per month, or part of a month, up to a maximum of 25 percent.
If you didn’t pay additional taxes owed by April 17, whether you filed an extension or not, a late payment penalty of one-half of one percent (0.5%) will also accrue each month or part of a month until the balance is paid in full.
Conclusion: if you owe, the sooner you file, the smaller your penalty. If you’re due a refund — well, what are you waiting for?
[Image: l’ethan via Flickr]