Post Tax Seaon FAQ's

3 Important Quick Tips to Remember

If You Must Amend Your Return

If You’ve Filed but Haven’t Paid


1. You can still file your tax return if you think you are owed a refund.

2. Don't wait for a confirmation letter — get the IRS result within 24-48 hours using the E-File Status link (bottom right of the client's home page)

3. If you owe taxes and didn’t file your tax return or request an extension by the April 15 deadline, you may face interest on any unpaid federal taxes you owe and a failure-to-file penalty.

The IRS will deny a request for an extension that is filed after midnight on April 15th. However, you should still file your tax return, even if it’s late.

The failure-to-file penalty is 5 percent per month, or part of a month, of the balance due, up to a maximum of 25 percent. If the tax return is more than 60 days late, the minimum penalty is $135 or the balance due, whichever is less.

Interest and penalties add to the total amount you owe. The sooner you file, even if you can’t pay all or some of the taxes due, the less you will owe.

More from the IRS: If You Didn’t File or Request an Extension on Time


If You Must Amend Your Return

If you need to make a change or adjustment on a return already filed, you can file an amended return. Use Form 1040X, Amended U.S. Individual Income Tax Return, and follow the instructions. Form 1040X cannot be filed electronically.

You should amend your return if you reported certain items incorrectly on the original return, such as filing status, dependents, total income, deductions or credits. You may also amend your return if you originally claimed the first-time homebuyer credit for a 2009 home purchase under the prior law allowing a credit, which generally must be repaid, of up to $7,500 rather than the newly expanded credit of up to $8,000 that normally doesn’t have to be repaid.

However, you don’t have to amend a return because of math errors you made; the IRS will correct those. You also usually won’t have to file an amended return because you forgot to include forms, such as W-2s or schedules, when you filed — the IRS will normally request those forms from you.


If You’ve Filed but Haven’t Paid

If you filed on time but didn’t pay all or some of the taxes you owe by the deadline, you could face interest on the unpaid amount and a failure-to-pay penalty. The failure-to-pay penalty is equal to one half of one percent (.05) per month or part of a month, up to a maximum of 25 percent, of the amount still owed. The penalty rate is cut in half — to one quarter of one percent (0.25%) — while a payment plan is in effect.

Interest and penalties add to the total amount you owe. The sooner and the more you pay, even though it’s late, the less you will end up owing.

In addition, you may take advantage of a variety of electronic and other payment options, such as using charge or debit cards to pay your taxes, to make it easier, or apply for a payment plan.
Electronic Options

Electronic payment options are convenient, safe and secure methods for paying taxes or user fees. You can make payments online, by phone using a credit or debit card, or through the Electronic Federal Tax Payment System.
Installment Agreements

If you can’t pay all or some of the taxes you owe, you can apply for an installment agreement. The agreement allows you to pay any taxes you owe in monthly installments. If you owe $25,000 or less, you may apply for a payment plan electronically, using the Online Payment Agreement application. You must show the amount of your proposed monthly payment and the date you wish to make your payment each month.

The IRS charges $105 for setting up the agreement or $52 if the payments are deducted directly from your bank account ($43 for qualified lower-income taxpayers). The IRS will automatically give you the low income installment agreement fee if you qualify; you do not have to request it.

You are required to pay interest plus a late payment penalty on the unpaid taxes for each month or part of a month after the due date that the tax is not paid.

source: IRS.gov

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