August 25, 2020

Optima Tax Relief provides assistance to individuals struggling with unmanageable IRS tax burdens. To assess your tax situation and determine if you qualify for tax relief, contact us for a free consultation.

If you missed the tax deadline this year and aren’t sure what to do next, don’t worry.  There’s still time for you to file your tax return and avoid having the IRS come after you for a failure to file or for having any remaining balance owed after filing your tax return. 

Here are some after-tax-day tips you should follow:

  1. File ASAP to avoid additional interest and penalties. For those who filed their taxes before the tax deadline and received a refund, they will not have to deal with the IRS charging additional fees against them. If you have filed after the deadline, the IRS will place penalties and interest against you until the tax return has been filed. Taxpayers can request an extension up until the October deadline, but  it is important to keep in mind that interest will still accrue even if an extension is filed.

A 5% failure to file a penalty is applied to those who fail to file or file a return late. If a return is filed more than 60 days late, the minimum penalty is either $435 or100% of the unpaid tax, whichever is less. The basic failure-to-pay penalty rate is generally 0.5% of unpaid tax for each month or part of a month.

  • File to get a tax refund. The only way to receive your tax refund is to file your taxes. There typically is no penalty for filing after the tax deadline if a refund is due. The IRS strongly recommends taxpayers electronically file their taxes since there will be delays this year for those who file their paper return. 
  • File your taxes electronically. Taxpayers who owe a tax balance will be able to pay off their liability through the IRS’s website by debit or credit card. If you are unable to pay off your tax balance in full, the IRS has an option to go on a payment plan. With Direct Pay and Electronic Federal Tax Payment Systems, it can make it easier and much more efficient for taxpayers to file their taxes and pay off any balances they may owe.

If you need tax help, contact us for a free consultation.