Tax season is here and that means that businesses have already hand out tax forms to their employees, and people are gathering all of the paperwork that they are going to need. This is the time for everyone to sit down and fill out some paperwork for the government. How exciting!
Most people aren’t very excited about this time of the year. It means extra work filling out dull paperwork or paying someone to fill it out for you. Sometimes, you can get some money back from the government, other times you end up owing them money. All the while, you are hoping you filled everything out properly, so you do not get audited.
This year, taxes are due to be completed by Tuesday, April 17th.
If you fail to file your taxes by then, you can miss out on any money that might be owed to you. However, if you owe money on taxes, you can face a failure to file fee. The fee is 5% of your unpaid tax bill every month that the balance remains unpaid.
If a person repeatedly fails to file their taxes for a number of years, they could face criminal charges. They will also receive a visit from the IRS if their unpaid taxes equal more than $25,000. This is why it is a good idea to pay your taxes on time.
Sure, filing tax returns may not be the most exciting thing in the world to do, but it can be very nice when that extra bit of money comes in. Plus filing taxes doesn’t take that long if you just commit to doing it. It is better to file your tax than winding up on the bad side of the IRS.