Dear ,
We are already in March, meaning next month is the deadline to file your tax return and pay outstanding taxes. As I always say, I only work with the information you send me to prepare your tax return.
Therefore, if you have not yet uploaded all your documents to our portal, kindly do so as soon as possible. We want to complete your return and avoid penalties. After all, we are happy to save money on taxes, not to pay extra in penalties and
interest.
In case you did not know, below is some information about IRS penalties.
Here is what you must know about the IRS late filing penalty.
- Starts at 5% for each month the tax return is late
- It is up to a maximum of 25% and
- It is based on the amount of tax you owe
And here is what you must know about the IRS late payment penalty.
- It is half of 1% per month for each month the payment is delayed
- It is also capped at 25% of the total amount due
- It is calculated from the original tax payment deadline (April 18 in 2022). The deadline is generally April 15 in many other tax seasons.
Remember, you also pay interest on the above penalties, which can put you in a really difficult position.
You must be afraid of the above and ensure that you send me everything to prepare and submit your return before the deadline. Also, ensure that the estimated taxes for 2021 are all paid up before the deadline. Call me at (202) 618-1297 if you have any
questions about the above.