June 11th, 2021 Brad Hennebert
Ever since COVID hit, nothing has been the same. Filing your taxes, strangely enough, has changed from the norm. 2019’s filing deadline was pushed to July 2020, 2020’s filing deadline was May 17th 2021, but this year some people get EVEN MORE time! Here is the handy list of the who/when/why!
Victims of the February winter storms in Texas, Oklahoma and Louisiana have until June 15, 2021, to file and pay their 2020 taxes. The IRS automatically provides relief to any taxpayer with an IRS address of record located in a federally declared disaster area. This means the taxpayer likely doesn’t need to contact the IRS to get relief.
Military service members and eligible support personnel serving in a combat zone have at least 180 days after they leave the combat zone to file their tax returns and pay any tax due. A complete list can be found in Publication 3, Armed Forces’ Tax Guide.
U.S. citizens who live and work outside the U.S. have until June 15, 2021 to file and pay their 2020 taxes. The June deadline also applies to members of the military on duty outside the U.S. who do not qualify for the longer combat zone extension.
This is the normal extension any taxpayer can submit using IRS Form 4868. But if you extended, you are still required to make tax payments by the deadline.
What if you didn’t? The penalty for not filing your taxes on time is 5% of your unpaid taxes for each month that the return is late, maxing out at 25%. For every month you fail to pay, the IRS will charge you 0.5%, up to 25%. For any month that you owe both penalties, the failure to file amount is reduced by the failure to pay amount. Interest also builds up daily, equal to the federal short-term rate, plus 3%.
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