There are many things you can do to avoid filing late.

Submitting a delinquent tax return is possible. Oftentimes, we witness people that haven’t filed because of neglect, confusion, disorganization, and misinformation.

Although common, this issue can be financially devastating. Withholding your tax return can get you in hot water with officials, rack up interest, and hefty fines.

For ways to avoid submitting a delinquent tax return, continue below.

Be Proactive

One of the most common reasons why people submit delinquent tax returns is because they were not proactive. But, when comes it to your taxes, you shouldn’t be lazy!

Unlike other types of bills (such as a car or credit payments), you will not receive a reminder or see the immediate consequences. However, this is not an excuse to not file.

The IRS does (and will) eventually get in contact with you. So, take some ownership over the April 15th tax return date by putting it in a calendar, setting a reminder, and keeping on top of the date.

Don’t Get Confused

Another reason we see people file delinquent returns is because of confusion. Some people don’t understand the process and don’t know how, or where to file. This is especially common with small business owners and contractors.

Admittedly, the process of filing can be difficult. Especially if you have employees, deductions, and expenses that need to be accounted for.

However, the IRS will not be as forgiving with any misunderstandings. We advise speaking with a tax professional, like us at A.P Accounting and Tax Services, to clear up any questions or concerns you have. That way, all your documents are in order and you get the right advice.

Keep Records

One of the most stressful parts of filing your taxes is getting all your documents in order. This can be even more difficult for business owners who tend to have multiple accounts, deductions, and expenses throughout a year.

To avoid an end-of-the-year rush, we suggest preparing throughout it. To do this, set up filing and tracking systems. Although tedious at first, it will save you time and stress come spring.

We also recommend trying to automate as much of the system as you can. Having invoices, expenses, and whatever else you need is especially helpful.

Be Informed

The IRS is not forgiving with people that don’t pay on time! Simply claiming ignorance of your situation can cost you. So, it’s worthwhile to be as informed about your finances, and taxes, as possible.

This means you should know the exact date that payments are due. Although April 15th is the official filing date for most, you might have outstanding payments, fines, or other quarterly amounts (for small business owners) that are due.

Take the time to set yourself a reminder, and hold yourself accountable to these dates.

Estimate Tax Payments

Another tip to avoid filing a delinquent tax return is to estimate how much you will owe. Although this number will be an estimation, it is an important part of your financial planning.

Take the time to analyze your accounts throughout the year, and figure out any deductions or breaks you’d be eligible for. We highly recommend speaking with a professional for this process.

Speaking with a professional before the submission date can give you clarity on your taxes for the year. Plus, they might tell you of other breaks you qualify for that you weren’t aware of.

Filing your taxes can be stressful. From gathering all the documents to figuring out due dates, and calculating interest; it’s not a process you should go through alone. For some helpful advice and a free consultation, call us today at 407-328-5001.

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