Is there a late filing penalty if I don't owe tax, but I won't get an IRS refund?

[sarahchoi]

Or is there only no late filing penalty if I'm due a refund? Or only if I make less than $10k? I'm confused about whether I'll be assessed a fee for filing late.

Right now, TurboTax is estimating that:
-I owe $0 tax
-IRS owes me $0 refund

If I made <$10,400, do I even need to file a tax return? Can I file anytime within 3yrs since I don't owe any tax?

I was unemployed 2018, but I had some small investments. I'm still waiting for corrected 1099s. I filed an extension, but will miss the deadline. I read that one can be penalized if filing late even if s/he doesn't owe tax, if they make >$10,400. But then I read that if the IRS owes you a refund, then you can file anytime within 3yrs without penalty. This is a bit confusing. Appreciate some clarity.

[Rainman12]

1) There is normally NO [added] penalty for late filing when nothing is owed. Rarely, an exception could exist if the non-filing was part of a larger fraudulent scheme.

2) There is no statute of limitations for unfiled returns; the three year limit applies to IRS having to pay any refunds owed. 

[sarahchoi]

Thanks for the info, @Rainman12!

1. Was this a typo? Did you mean there is normally *no* penalty for late filing if nothing is owed? Just want to clarify. 

2. I’ve read that there’s no statute for the IRS to come after you, but citizens only have 3yrs to file a return if they want a refund. I think that’s aligned with what you’re saying. Not fair! Lol

if #1 was a typo,  if I don’t owe tax, and  I can file whenever, is there no penalty if I make over $10k (or $12k, not sure what the threshold is)? So long as I don’t owe tax, then it doesn’t matter how much I make? Or will I get penalized for filing late, but won’t be assessed late payments? 

Hope I’m explaining my questions accurately. Taxes are like rocket science to me

[TuCat]

There is no late fee if there was no money owed.  However you do have a small chance the IRS will impute income for you and create a return for you with money due (to which you would then have to file a return).  You have 4 years (from the 4/15th!) to file for a refund or the government no longer owes you the refund.

[sarahchoi]

@TuCat Thanks for the info! Good to know I have some extra time. Just wondering- if no amount is owed, did I need to file an extension? I did and had to pay an extension fee. Wondering if I didn’t need to....

[Rainman12]

IRS will accept a mailed-in extension with no associated fee. Form/instructions: https://www.irs.gov/pub/irs-pdf/f4868.pdf 

[Rainman12]

Per your 3-part question:

1) Typo, corrected; No penalty if nothing owed.

2) You can mail in a return for an unfiled year for any past year; Limitation is on when IRS will pay any refund due,

3) Amount you made is irrelevant; Amount of tax owed determines penalties.