Failure to pay tax owed by the due date can result in a penalty. The deadline to file and pay your federal income tax is usually April 15. However, the due date for 2020 was extended to May 17, 2021. If you are unable to make payment by the due date the IRS will assess a penalty of 0.5% for each month the tax is outstanding with a maximum penalty of 25%. There are certain circumstances, such as for reasonable cause, where the late payment...

It is not unusual for someone to file their income tax return and realize that they have a balance due. What happens though if you owe the IRS but can’t pay the tax now? Thankfully the IRS does not come and arrest you if you can’t pay all your tax immediately. However, taxes not paid by the due date could result in penalties and interest. Don’t panic because there are options available to you. If you owe less than $100,000 and...

An amended tax return is simply a revision of a previously filed return. It’s not uncommon for a tax return to be filed only to realize that a mistake was made. Perhaps you had a net operating loss (NOL) that can be carried back to previous years. In some cases a credit or deduction was not taken. Sometimes you can call the IRS to straighten things out. In other cases the IRS makes a change to your federal tax return which then requires that...

Haven’t filed taxes in several years? Need help with back taxes? Don’t panic. You’re not alone. There are millions  in the same boat. Just because you have unfiled taxes does not mean that the IRS, or State, does not know or has forgotten. Why You Should File Back Tax Returns If you have a filing requirement and do not file your tax returns timely you could be hit with penalties and interest.  Let’s talk penalties for a second....

Business Loan Calculator “Somebody PLEASE pick up the phone!” It’s a desperate plea for many who want to speak with an IRS representative. It’s not uncommon for callers to wait on hold for hours to get through. Many times callers are lucky if they get a chance at all to speak with a real person at the IRS. What IRS Number to Call The IRS has several phone numbers available for the public to reach them. The number you...

The average cost of a home in Westchester County is $683,904. If you are like most homeowners you have a mortgage on your property typically at a fixed interest rate over 15 or 30 years. If you took out that mortgage several years ago it is possible that the interest rate is higher than today’s rate. The amount of money paid in interest can add up. In fact, over the life of your mortgage much of your payments will go to interest. Many people...