Late Tax Filing?
Free Income Tax Organizer
Penalties for Late Filing
April 15th is the annual tax filing date for Americans to file their federal income tax return forms or pay any taxes that they may owe. Filing a federal tax income return late or failing to pay a tax return on a timely basis could result in serious consequences.
According to the Internal Revenue Service (IRS) tax law, penalties for filing or paying late could include:
- Penalty fees for failure to file or pay – penalties for failure to file are generally more costly than penalties for failure to pay
- The penalty for filing late is typically 5% of the unpaid taxes for each month that a return is late
- Penalties begin to accrue the day after a tax return file is due
- If you do not pay your taxes by April 15th, you will face a failure-to-pay penalty at 0.5% of your unpaid taxes
- If you file your return more than 60 days after the due date, the minimum penalty could either be $135 or 100% of the unpaid tax, whichever is smaller
If you feel as though you will be late on filing or paying for your tax return, it is wise that you consult with a certified public accountant. A CPA can help notify the IRS if you need an extension of time to file or pay your tax return. Instead of paying penalties, it is much more economical and safer for your finances to ask for help.
Are you thinking about hiring El Cid as an accountant or bookkeeper to prepare your Income Taxes?
- Bookkeeping is a direct record of all your purchases and sales that your business conducts monthly. While accounting is a subjective look at what that data means for your business.
- An accountant can be considered a bookkeeper, but a bookkeeper cannot be an accountant without proper certification.
- To know whether you need a financial professional, assess the current financial position of your business. Compare what you want your business to grow financially, and decide if you can manage that independently.
- This article is for business owners deciding whether they need to hire an accountant or bookkeeper or business accountant bookkeeping.
Staying on top of your finances is vital for being a successful small business owner. Your financial data must be current and accurate. You have the tools you need to make sound business decisions and ensure healthy cash flow.
As your business grows to include more customers, vendors, and employees can get more challenging to keep track of your finances. This might be a good time to hire El Cid as your professional bookkeeper and accounting professional to do your bookkeeping services, data entry, and financial statements. Financial statements might include your Profit and Loss, Balance Sheet, Payroll Tax Reports, and Trial Balance.
When the bookkeeping, accounting, and tax returns are too much to handle by yourself, it’s time to hire El Cid.
Contact El Cid
Contact El Cid
IRS 1040 Tax Return
- Form IRS 1040
- Schedules A, B, C, CEZ, D, E, F, H, J, R, SE
- Form 8812 Child Tax Credit
We will prepare your IRS 1040 tax return for both State and Federal and e-file for you. Your return shall be prepared with the highest standards as for all of our clients.