I hope this message finds you well and healthy. I was hoping someone could help me with this conundrum. I was planning to mail my 2017 taxes, but my financial circumstances have changed for the worst. As per my return, I own $86 dollars to the IRS. This may not seem like much but my funds in my checking acct are $175. I am still waiting for my unemployment case to be completed, which could take another month or two months, seeing how things are working in the Dept of Labor.
Therefore my questions are:
Can I just file my 2017 NY taxes return?
Will it go through without filling my Federal tax return and will I get a refund?
If I do not file my Federal tax return at all, will I face any penalties?
Taking into account the return is from 2017, don't they have a deadline of three years for filling amend returns?
Thank you so much in advance for your assistance. Take care.
since the 2017 returns can't be efiled (neither can the 2018 returns) there's nothing preventing you from mailing in your 2017 NY return (even though NY prefers efiling). since you owe on your federal, expect the iRS to bill you for late filing penalties, late payment penalties and interest. you can request abatenbt of penalties but not the interest. (usually the IRS will grant if this is your first time file
Failure-to-pay penalty is charged for failing to pay your tax by the due date.
- The late payment penalty is 0.5% of the tax owed after the due date, for each month or part of a month the tax remains unpaid, up to 25%.
- You won't have to pay the penalty if you can show reasonable cause for the failure to pay on time.
- 10 days after the IRS issues a final notice of intent to levy or seize property, the 0.5% rate increases to 1% per month.
- The penalty rate is 0.25% for each month or part of a month in which an installment agreement is in effect.
Failure-to-file penalty is charged on returns filed after the due date or extended due date, absent a reasonable cause for filing late.
- The failure-to-file penalty is 5% of the unpaid taxes for each month or part of a month that a tax return is late. The penalty won't exceed 25% of your unpaid taxes.
- If both a failure-to-file and a failure-to-pay penalty are applicable in the same month, the combined penalty is 5% (4.5% late filing and 0.5% late payment) for each month or part of a month that your return was late, up to 25%.
- The late filing penalty is calculated based on the tax that remains unpaid after the due date. Unpaid tax is the total tax shown on your return reduced by amounts paid through withholding, estimated tax payments, and allowed refundable credits.
- If after five months you still haven't paid, the failure-to-file penalty will max out, but the failure-to-pay penalty continues until the tax is paid, up to 25%.
- The maximum total penalty for failure to file and pay is 47.5% (22.5% late filing and 25% late payment) of the tax.
- If your return was over 60 days late, the minimum failure-to-file penalty is the smaller of $210 or 100% of the tax owed.