I extended my return, why is the IRS assessing penalties and interest?
The answer is that since you extended your return, you are not being penalized for late filing, instead you are being penalized for late payment.
Extensions only extend the timing for filing a return, not for payment of your income taxes. The IRS expects you to pay your taxes throughout the year as you are making your money. They also expect that if you extend your return that you will pay any remaining taxes that you owe for the prior year with that extension, so by no later than April 15.
09/09/2019
By: Gary Grottke, Quality Back Office LLC
Every January, business owners chase contractors for W-9s they should have collected months ago. The…
The one report every business owner should see weekly: a 13-week cash flow forecast built…
Third-quarter estimates are due September 15. Most business owners pay last year's number divided by…
Separate LLCs only protect you if the money stays separate. What happens when one entity…
Most extended business returns aren't a tax strategy. The books weren't ready in March. What…
Somewhere between your first hire and your first million, the finance question changes. It stops…