By: Victoria Kennedy
Many people end up filing their taxes late, and this happens for different reasons. Sometimes they just forget, and other times they have bigger problems that make it hard to file on time. But being late with taxes can cause big troubles. You might have to pay a lot of extra money in fines and interest. In really bad situations, you could even get into legal trouble. This can make things hard financially and might lead to long fights with the IRS.
Meet Attorney at Law Lance R. Drury, an excellent tax lawyer who’s well-known in Ste. Genevieve and St. Louis, Missouri, as well as in San Antonio, Texas, and Nashville, Tennessee. He’s really good at dealing with complicated tax problems and helping people sort out issues with the IRS. Drury knows a lot about tax laws and has lots of experience, which makes him a great help for people who are late in filing their taxes. He’s going to share his expert advice with us and show us the ways to fix these tax problems.
Our article will help show the way for people who filed their taxes late. We aim to make things clearer and give hope to those who feel overwhelmed by their money problems.
Knowing What Happens If You File Taxes Late
If you file your taxes late, you could face many problems, like different kinds of penalties and growing interest, making what you owe the IRS even bigger. For example, if you don’t file on time, you get a penalty of 5% of the unpaid taxes each month it’s late, up to 25%.
There’s also a penalty for not paying your taxes on time, which is 0.5% of what you owe every month. Plus, interest keeps adding up on the taxes and penalties until you pay them all off. This shows why it’s really important to file your taxes on time, so you don’t end up paying a lot more.
Drury taught us about how heavy these penalties can be and how people often get it wrong, thinking they can easily pay them off later.
He said, “Many people don’t realize how fast penalties and interest add up, thinking they can catch up later.”
But these costs can grow a lot, making what was a small tax bill into a big debt. Drury wants to make sure people understand the real risks of not filing taxes on time, and how important it is to be aware and act fast to avoid problems.
How Not Filing Taxes Affects Your Money and Refunds
Not filing your taxes can cause more trouble than just penalties. If you don’t file, you might miss out on any money the government owes you. You have three years to file your taxes and get your refund. If you wait longer, that money goes to the U.S. Treasury instead. Not filing can also make it harder to get loans, because lenders look at your tax records to see if you’re good with money.
“Not filing on time can really mess up your money situation,” Drury said. “You could lose out on refunds and hurt your chance to borrow money later. It’s important to keep up with your taxes to avoid these problems.”
Legal and Administrative Problems from Not Filing Taxes
If you don’t file your taxes, you can face serious problems beyond just having to pay extra money. The IRS can put a tax lien or levy on your things. A tax lien means the IRS has a legal right to your property until you pay your taxes. A levy means the IRS can take your property to pay off your tax debt.
If someone doesn’t pay their taxes on purpose, they could even be taken to court and go to jail.
Drury warned about how serious this can be, saying, “The danger of tax liens, levies, and even criminal charges shows why it’s so important to file your taxes on time. Working with the IRS and getting help from a professional can stop these bad things from happening. It’s crucial to deal with tax problems right away to prevent really tough consequences.”
Taking Action Early: What to Do About Late Taxes
Being proactive, or taking action early, helps a lot with late tax filings and their problems. It’s important to file your taxes, even if late, and fix any old mistakes to avoid more fines and interest. The IRS has payment plans, like paying in parts, which can make it easier to pay your tax debts over time. Knowing how to work with these plans can really help ease money stress.
Drury pointed out how helpful it is to have a tax professional’s help, saying, “Working with a tax expert can really help in dealing with the IRS and figuring out payment plans. With help, you can fix old mistakes and plan to keep your finances stable in the future. Getting advice from a tax expert is good for solving tax problems now and for avoiding future ones.”
In summary, it’s really important to deal with late tax filings quickly to avoid bigger money and legal problems. Drury taught us that fixing these issues right away is crucial to stop penalties, interest, and serious legal trouble from getting worse.
He believes strongly in managing your finances well and following tax rules. To handle these tricky situations and avoid bad results from filing taxes late, it’s a good idea to get help from a tax expert. Talking to someone as skilled as Drury can give you the advice you need, helping you solve your tax problems now and keeping your money matters strong in the future.
About The Law Office of Lance R. Drury
The Law Office of Lance R. Drury, founded in 2006, has been a leading legal practice in Ste. Genevieve, Missouri, St. Louis, Missouri, San Antonio, Texas, and Nashville, Tennessee specializing in tax law matters. With over 35 years of experience, Lance is a nationally-recognized tax resolution attorney providing innovative solutions to IRS tax dilemmas with a team that is dedicated to providing clients personalized and effective solutions for tax planning, dispute litigation, and tax resolutions. For more information, please visit https://www.lancedrurylaw.com/
Disclaimer: “The content in this article is provided for general knowledge. It does not constitute legal advice, and readers should seek advice from qualified legal professionals regarding particular cases or situations.”
Published by: Khy Talara
