What happens if I miss the April 18th, 2017 deadline?

Don’t panic! This is IRS’ advice for you. Nearly 30% of the taxpayers are unable to organize their documents before the deadline. You still have the chance to solve your situation; however there are a few important things you need to consider if you expect to miss the deadline.

If you are due back a refund or your tax return shows no tax liability

If you are due back a refund or your tax return shows no tax liability, you may not be fined for filing late. If you’re due a refund, you should file as soon as possible to get it. Even if you are not required to do so, you may still get a refund. This could apply if you had taxes withheld from your wages or you qualify for certain tax credits.

Sprintax will help you determine if you are due back a refund.

Note that there is time limitation for you to file and receive your federal tax refund, so if you don’t file within three years from the due date of your tax return (18th of April, 2017 for 2016 tax year), you may not receive your refund.

In addition, there are some tax refund policy changes for late filing taxpayers, that IRS is implementing, that may affect how quickly you will receive your refund.

If you owe any money in tax

If you owe any money in tax, keep in mind that both late filing and late payment penalties may be charged on top of your tax liability. The failure-to-file penalty is the bigger portion of your penalty,and after 60 days of delay its minimum amount will be $205, so if you have not filed form 4868 – Extension to file, you may need to submit your tax return to the IRS as soon as possible in order to avoid further increase of your fine.

Your failure-to-pay penalty depends on the amount of tax you owe. The percentage of the penalty increases over time, so even if you are not ready with your documents, the more you pay on time, before the deadline, the less interest and penalty charges you will accrue.

If you are unable to pay your tax on time, you have the choice to enter into installment agreement with the IRS. There are certain conditions you should meet and Sprintax tax experts will be able to help you if you choose to request installment agreement from the IRS.

In conclusion, if you missed the deadline, the best thing you can do is to prepare your tax documents and file your tax return as soon as possible!

Do not delay your tax return further! Sprintax can help you to prepare  it, and estimate if you owe tax to the IRS.

 

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Stacy
Hey I'm Stacy! I'm dealing with US taxes and can't wait to help you prepare your tax return! I've been working with taxes for like forever, so you can totally trust my expertise. Sprintax can make things much easier for you. Check out my blog posts and feel free to ask me any questions.

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