Tax Day has come and gone. Maybe your tax return is signed, sealed, and delivered…or maybe it isn’t. Whatever your situation, we have the information you need to combat post-deadline tax issues. Read below on what your next move should be, and you’ll avoid much more hassle with Uncle Sam, or worse, paying penalties or an audit.
If you’re owed a refund, there’s no problem with a late file (except that you’ll receive your refund later, of course!). If you anticipate owing taxes, and that’s the reason for your delay, you may accrue penalties and interest. What’s more, the interest rates just increased. If this is the case, you should file immediately and either pay as much as you can upfront, or set up a payment plan. You can file for this tax year up until October 16th.
Maybe you’ve just filed in the last week, sliding into home plate right before the deadline. Now the big question is when will that refund hit your bank account? The IRS offers a “Where’s My Refund?” tool or you can call a toll free number. You’ll need to have information handy such as your Social Security number, filing status, and the amount of your refund.
To amend your tax return, file a 1040X, which must be filled out on paper and mailed. It’s important to not file an amendment until your original return has been processed. If your error is simply an addition or subtraction problem, the IRS will often correct this for you. Only file an amendment if you are changing your filing status, deductions, credits, or income. Amendments take awhile to process, which can be frustrating if you’re expecting a refund based on your newly filed return.
If you got married during the 2017 tax year, you’ll need to change your withholding by contacting the HR department of your place of work, or face the possibility of having to make estimated tax payments to ensure you’re not underpaying. Fill out a new W-4 to account for your life change.
If you receive a letter or notice from the IRS, it will contain instructions on how to proceed. Most notices ask for more information to confirm your identity, to inform you of a smaller or larger return than expected, or that you have a balance due. Remember that you have rights as a taxpayer, including the right to be informed and the right to privacy. If you still have concerns, consult your tax professional for advice.
The quickest and easiest way to take care of tax debt is to pay it online. You can view your balance, set up a payment plan, or make a one-time payment. All you have to do is verify your identity, and your payments are received immediately. They are secure and confidential, and confirmed via email to keep track of your payments.
Regardless of your financial situation after tax day, it’s imperative to take care of any lingering issues, while also preparing for next year. This includes staying organized, thinking ahead in regard to deductions and credits, and learning the ropes with the new tax laws passed.