Daily Prompt: The IRS is Calling

Cute prompt for tax day. “Fret.”  Many are fretting today.  Not really sure why.  As long as you had your withholding done correctly during the year or have been paying your quarterly estimated taxes and self employment tax if you are self employed there should be no problem.  I’m not addressing business owners in this post.  Not really sure why so many wait until this deadline date to “race the clock” sending in their tax payments.

Some of the self employed get behind simply because they are not being responsible or budgeting properly and cannot really even afford to be running their own business or be self employed but try it anyway thinking they can omit expenses they are able ignore for the time being such as tax liabilities.  Some get behind because of unexpected expenses and overhead.  Make your decisions accordingly or your tax liabilities will begin to add up and accrue so many penalties and interest it will be very hard to make things right again.

Forget “pennies on the dollar” because unless you are truly in a hardship situation like dying broke or completely unable to make future payments, the IRS will never accept these offers.  Why should they?  Extenuating circumstances aside, why would anyone think that they should be the exception in paying their fair share of taxes while employed?

You can file for your 6 month extension at this time if you are still waiting for more paperwork for some reason.  There is rarely a reason anyone should file an extension since the extension is only for the filing, never for the tax dueAll payment of any tax is always due on the April 15th, 17th this year, deadline whether you file an extension or not.  If you do not send in full payment by this deadline expect additional penalties and interest to apply.

Be sure to address your various state and local income tax filing laws as well.

 

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