Taxes

[Busguy2010]

So from what I understood by looking it up, tax day is May 17th this year, meaning that if I don't file by April 15th this year, that wont be a problem, correct? I saw estimated taxes are still due April 15th, but I dont think this applies to me as my jobs are all regular.

Just want to make sure I understood this correctly, as I've forgotten about doing taxes and I really do not feel like doing them this week. If taxes were due April 15th, I would have been very fortunate to have randomly woken up with the thought today. I really just completely forgot.

[Brad]

I believe I heard the Feds pushed back a month, but I'm not sure Nebraska followed them? Mine are done so I didn't really pay much attention to the extension.

[Busguy2010]

I believe I heard the Feds pushed back a month, but I'm not sure Nebraska followed them? Mine are done so I didn't really pay much attention to the extension.

Federal did and Nebraska followed suit as well. I normally get mine done in January but this year I just forgot. I was just confused by the "estimated taxes are still due April 15th", but it seems to me that only applies if you have income not coming from a normal source. Like if you get a W-2 then your taxes are due May 17th is what I gathered from it.

[jessep28]

The filing deadline for 2020 individual tax returns was pushed back a month, but if a taxpayer is required to pay estimated taxes for the first quarter of 2021 income, then that money still needs to be sent by April 15th. W-2 earners mostly don't have to mess with estimates. It's your business owners and those with a lot of passive income who are required to pay estimated taxes depending on their situation.

[zippy]

Are there penalties for W-2 taxpayers who wait until May 17 to pay? I ended up being under-withheld by about 6% for 2020 full-year Federal taxes.

[Big E]

Are there penalties for W-2 taxpayers who wait until May 17 to pay? I ended up being under-withheld by about 6% for 2020 full-year Federal taxes.

The likelihood of being hit with a penalty for something as minor as being a couple days late with paying or filing is almost nonexistent. The IRS is so ridiculously understaffed unless you're a big enough fish AND throwing up big enough red flags, they couldn't find tax fraud to save their life.

[Big E]

Apparently the NY Times skims this forum too:

https://www.nytimes.com/2021/04/13/busi ... Hc2Bqe1KYE

The United States is losing approximately $1 trillion in unpaid taxes every year, Charles Rettig, the Internal Revenue Service commissioner, estimated on Tuesday, arguing that the agency lacks the resources to catch tax cheats.

The so-called tax gap has surged in the last decade. The last official estimate from the I.R.S. was that an average of $441 billion per year went unpaid from 2011 to 2013. Most of the unpaid taxes are the result of evasion by the wealthy and large corporations, Mr. Rettig said.

“We do get outgunned,” Mr. Rettig said during a Senate Finance Committee hearing on the upcoming tax season.

The size of I.R.S.’s enforcement division has declined sharply in recent years, Mr. Rettig said, with its ranks falling by 17,000 over the last decade.

The spending proposal that the Biden administration released last week asked for a 10.4 percent increase above current funding levels for the tax collection agency, to $13.2 billion. The additional money would go toward increased oversight of tax returns of high-income individuals and companies and to improve customer service at the I.R.S.

[jessep28]

The IRS has computers that will eventually flag a balance paid late and automatically kick out a notice calculating penalties and interest. You can usually call or write in and tell them a sob story to get the penalties waived, but interest typically is non-negotiable unless you have proof of a timely filing. Returns with refunds are not penalized for filing late.

[Big E]

The IRS has computers that will eventually flag a balance paid late and automatically kick out a notice calculating penalties and interest. You can usually call or write in and tell them a sob story to get the penalties waived, but interest typically is non-negotiable unless you have proof of a timely filing. Returns with refunds are not penalized for filing late.

Are they actually doing this even if you filed on time but say didn't get your bank transfer done until the following monday or something simple like that? I've been paying estimates for 12+ years now and I bet half the time I miss the actual payment date by a few days (CPA files on time, though).

Never once heard a peep.