3 Reasons Not to File a Late Tax Return

Missed the first deadline to file your taxes? No worries, you can get an extension. Missed the deadline for the extension? Now you’ve got a problem.

It’s never good to mess with the IRS, and avoiding taxes will get you into some serious trouble.

Here are three issues you could face if you file a late tax return:

1) The IRS will notice and you’ll probably have to get an audit. If you didn’t file a return at all, the situation could be even worse.

2) You’ll have to start paying a “failure to file” penalty of 5% per month. This penalty could get as high as 25% per month depending on how long you drag your feet.

3) If you owe a failure-to-file penalty, you could also owe a failure-to-pay penalty, which starts at 0.5% and can get as high as 25%. If you continue to not file and not pay, you could eventually owe a combined penalty of up to 47.5%.

Struggling to file your taxes? Don’t try to run away because the problem will catch up to you at some point. The more you avoid it, the bigger the consequences. Contact us today and we’ll help you get back on track!

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Integrated Accounting & Tax is a woman-owned accounting firm with services tailored to each client’s unique needs and goals. We guarantee that every service we provide is essential and propels your goal.

Contact us today for a free tax services consultation. We have locations in Prior Lake, MN, and Ft. Lauderdale, FL, and can provide service to surrounding areas.

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