The IRS tax deadline for 2010 returns is April 18, 2011. You should file your return or request an extension by this date in order to avoid penalties for late filing.
Failure to file or delays in filing can be costly. If you owe taxes, filing late could increase your tax liability by 25% or more. There is no penalty if you are due a refund; however, the deadline for claiming your refund is three years after the return is due. Self-employed individuals must file within three years in order to receive credit towards Social Security or disability benefits.
Should I file if I owe more than I can pay?
Even if you owe more than you can pay, you should file your return by the due date. The penalties for late payments are much less than the penalties for non-filing. For example, the penalty for paying late is 1/2 of 1 percent per month, up to 25 percent of the amount due. On the other hand, the penalty for filing late is generally up to 25 percent of the amount owed. So as you can see, the choice is simple. File now and work with your tax professional to investigate the IRS' options such as installment payments and Offers in Compromise to help you if you cannot pay your debt in full. Filing on time shows positive intent, and may qualify you for these options.
What do I need to file my return?
Call us today for filing assistance. Below is a listing of some common information needed to file:
§ Forms W-2 - These are the forms you receive each year from your employers showing your wages.
§ Forms 1099 - These are forms you receive from banks and other financial institutions showing your interest and dividends. Form 1099s also report self- employment income and disbursements from retirement accounts.
§ Social Security Numbers for your children age one or older and any other person whom you claim as a dependent.
§ A copy of the last tax return you filed.
§ Information on expenses you want to claim on your return, such as itemized deductions:
ü Mortgage interest statements
ü Real estate taxes paid
ü Charitable contributions and donations
ü Personal property tax records (i.e. ad valorem tax)
ü Student loan interest
ü Higher education tuition payments
ü Child care expenses
ü Business income and expenses
ü Medical expenses
What if I have not filed in several years, or I have received correspondence from the IRS?
As experienced tax professionals, we can assist you in obtaining transcripts and/or past returns from the IRS, and filing any missing returns -- no matter what state, or what years you are missing.
RCB Consulting Group can help you . . . .
We can assist you with all of your tax needs and make filing taxes convenient for you. Call us today for an appointment.