On April 15, the 2020 tax season will come to an end for 2019 tax returns. Those who haven’t filed their tax returns and haven’t filed an exemption will be subjected to penalties up to 25 percent of the total taxes they owe to the IRS. But the penalties will not reach to that immediately and will take around 5 months as each month a 5 percent increase will happen to the total penalties.
Keep in mind that there is a huge difference between paying late and filing late. If you’ve already filed your tax return but unable to pay them, IRS can put you on a payment plan where you can pay your taxes in 120 days and make the payments as much as you want after filing your taxes. However, if you’re also not able to pay your taxes in 120 days, the duration of it can be extended by the agency.
We highly recommend filing your taxes even if you’re not able to pay them all at once. If you want to set up a payment plan with the IRS, you can visit IRS.gov to learn if you qualify or not. Click the link below to be redirected to the IRS.gov Payment Plan page.