Most individual taxpayers’ federal income tax deadline has passed. However, some taxpayers have yet to file or pay their 2021 tax returns.
Some people may elect not to file a tax return because they do not earn enough money to be required to do so. In most cases, they will not be penalized if they are owed a refund. They may, however, miss out on receiving a refund.
Tax owed but unpaid by April 18, 2022, on the other hand, is subject to penalties and interest. Due to the Patriots’ Day holiday in those states, taxpayers in Maine and Massachusetts had until April 19 to file and pay their taxes.
Anyone who did not file a return and owes tax should do so as soon as possible and pay as much as they can to avoid penalties and interest. To prepare and file returns electronically, electronic filing options, including IRS Free File, are still available on IRS.gov until October 17, 2022.
MilTax, a free tax resource provided by the Department of Defense, can also be used by the military community to file their taxes. MilTax allows eligible taxpayers to electronically file a federal tax return as well as up to three state returns for free.
If a taxpayer discovers that they owe taxes, they can look into their payment options. The IRS has information for taxpayers who are unable to pay their taxes.
Some taxpayers may be granted additional time to file their tax returns and pay any outstanding taxes. Some disaster victims, taxpayers living abroad, certain military service members, and eligible support personnel in combat zones are included.
It is critical to file as soon as possible because late-filing and late-payment penalties, as well as interest on unpaid taxes, can quickly add up. In some cases, however, a taxpayer filing after the deadline may be eligible for penalty relief. Those who have been charged a penalty may contact the IRS by calling the number on their notice and explaining why they were unable to file and pay on time.
Taxpayers who have a history of filing and paying their taxes on time are frequently eligible for administrative penalty relief. A taxpayer typically qualifies if they have filed and paid their taxes on time for the previous three years and meet other requirements. For more information, taxpayers should go to IRS.gov’s first-time penalty abatement page.