If you miss the tax deadline, you may face penalties and interest charges from the IRS. The specific penalties depend on whether you owe taxes or are due a refund. Here are some key points to keep in mind:
If you owe taxes:
- The failure-to-file penalty is typically 5% of your unpaid tax per month, plus interest.
- The failure-to-pay penalty is 0.5% of the tax you did not pay timely for each portion of a month your tax remains outstanding, plus interest.
- If you file a return after the deadline and owe tax, file as soon as possible and pay as much as possible to reduce penalties and interest.
- If you need more time to pay your taxes, you can apply for an installment agreement with the IRS.
If you are due a refund:
- There is no penalty for filing a late return after the tax deadline if a refund is due.
- However, if you wait too long to file, you may lose your refund altogether.
Its important to note that the sooner you file, the less youll owe in penalties and interest. If you missed the tax deadline, you should file your return as soon as possible to minimize the impact of any penalties and interest charges.
