“If it weren’t for the last minute, nothing would get done.” – Rita Mae Brown
There are two types of IRS penalties: failure to file, and failure to pay. Of the two, failure to file is the worst. It’s 5%”of what you owe, up to 25% for the first 5 months. That is why it is important to file on time, even if you can’t pay. And if you don’t have your act together, you can get your return considered to be on time this way:
File an extension.
I’ve encouraged you a few times already to file an extension if you’re too rushed for time – so how do you do that?
We can do that for you.
You’ll need to file Form 4868 by the end of the day on the 15th. This will push your deadline to October 15th, 2025 – giving you 6 more months to get your taxes filed accurately and take advantage of all the benefits you can.
But note what I didn’t say – an extension does NOT give you 6 more months before you have to pay what you owe. That’s still due April 15th, like it or not. Think about it – if an extension was an extension of time to pay, everyone who owed money would go on extension!
So, you need to make an educated guess of what you think you owe the IRS, based on your receipts and tax documents.
We can help with that.
Then, when you file for the extension, you’ll pay (either electronically, by mail, or by credit card through a specialized provider). We recommend online.
If you’re now looking at your screen with a furrowed brow, don’t worry – we can take care of filing an extension on your behalf. And, we can work with you to estimate what you owe and get your payment in by the deadline.
We can even have the IRS or NYS debit your account for the money you might owe. Some states, including NYS, require that, but we can get around that by filing the extension stating that you owe nothing to NYS, even if you do, and then you can pay the balance we have calculated yourself.
What happens if you can’t pay? First, pay as much as you possibly can. Then consider your options – you may be able to get an extension of time to pay, claim a financial hardship delay, set up an installment plan, or even negotiate with the IRS.
But DON’T try this on your own. If you think you won’t be able to pay what you owe, come talk to us. Knowledge of how the IRS’s systems work is critical here, and we can help you come up with the best plan for your unique situation.
Don’t forget – we are in your corner. Making the deadline might feel impossible at this point, but my team and I can help get you filed, on time, penalty-free. If you got us your documents on time, we will file your returns. If not, we will file your extensions.
