The Form 1040 tax filing deadline for personal income tax returns has passed for individual taxpayers. However, many small business owners still haven’t filed their personal tax return and may be worried about what to do next.
If you haven’t filed yet and expect to receive a refund, you should have your Form 1040 return prepared and filed as soon as possible. You may lose your refund if the return isn’t filed within three years of the filing due date.
If you haven’t filed and expect to pay, you’ll be subject to penalties and interest on the amount due. The failure to file penalty assessed by the IRS is 5% of the unpaid tax for each month late up to 25% of the unpaid tax. The failure to pay penalty is 0.5% of the unpaid tax for each month late up to 25% of the unpaid tax. If you are experiencing financial problems and can’t pay your tax, the IRS offers several options, including payment plans to pay the tax due.
Filing your return as soon as possible is critical because the penalties and interest on any unpaid tax can add up quickly. However, taxpayers who have had a history of filing and paying on time in the past may qualify for penalty relief. If you’ve filed your returns and have paid any tax due on a timely basis for the past three years, the IRS offers first-time penalty abatement.
Our CPA firm specializes in preparing current, amended, and delinquent tax returns for both individuals and small businesses. So why wait any longer? Call our office today to learn more about how we can help you to become current with the IRS.
To learn more about our tax services, call our office today at (727) 391-7373.