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 due. All 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.
This is the day that everyone who owes tax hates. Really hates.
Some will chose to ignore it completely and those are the ones that will really benefit from my book “Don’t Mess With The IRS“.
For the time being, I can only offer “Don’t Mess With The IRS An Unauthorized Customer Service Guide to Resolving Your ACS Collection Issues” by sending a postal money order or cashiers check to:
Please send $14.95 + 3.50 for shipping and handling to: Po’ Girl Publications, PO Box 2464, Dearborn Mi 48123. Michigan residents please include 90 cents additional for sales tax.
This realistic self-help book explains how to file late returns and take care of any back tax issues to your benefit. Do not believe all the hype those so-called tax resolution experts advertise for getting pennies on the dollar. If it was that easy, who would ever pay their taxes when due? There are times when an Offer in Compromise is a realistic and acceptable option but you would be able to verify this for yourself by going to the official irs.gov website to see if you even qualify. You can write up the offer yourself with a little work. The workbook the IRS sends you to do this is pretty self-explanatory. Sure beats paying someone thousands of dollars that you could be using towards your tax obligation.
Please be aware of the many unscrupulous people there are out there advertising that they can help you with any tax issue or get you a bigger refund, especially since the IRS offers all kinds of free filing help for qualified individuals. Do not pay unless you have to. Please refer to the irs.gov site to verify if you qualify. If not, be aware of anyone you select to help you file no matter what their title is. I have seen all kinds of cons and scams regarding tax reporting. Sometimes the taxpayer is in on it. If anyone asks you to fudge something or tells you that you don’t need documentation for your deductibles don’t use them. It will always come back to bite you and your accountants or preparers are not liable for these returns no matter how poorly or fraudulently they are prepared. You the taxpayer are accountable. If you sign the return, you better know what you are signing.
I worked with some individuals years ago that told me there were fraudulent tax preparers that asked them to pretend to be self-employed so they could file false returns and split the refund generated from the fake return. Just remember yours in the only neck that will be on that chopping block when the IRS finally realizes the return was falsified and you signed it. By that time, the preparer is long gone. Since crooks like this usually have a number of people they do this with, it does not take long for that preparer to be linked to a number of fraudulent returns and quicker still to verify the other returns they signed as a preparer on. Computers are great for this purpose.
Please refer to my previous posts for more filing information as needed as well as the official IRS website irs.gov.