To make sure that not a single person receives a larger tax return than they should, the United States government carefully reviews every tax filing that is received to them. Taxpayers’ tax avoidance costs the federal government more than $458 billion every year. If the government intends to guarantee that someone cannot escape paying taxes, it must properly review all tax information. It is an effort of the government to ensure they will be able to collect all tax money. There are instances when the IRS will review a tax filing and discover an error. If something is incorrect, the IRS may impose a penalty that the taxpayer must pay. To help everyone better understand the things they need to do if they get a penalty after completing their taxes, you can read more here.
Tax penalties that can be assessed
Penalties are frequently imposed on taxpayers long after they have filed their taxes. The penalties are frequently include the following:
- Reporting their taxes late
- Not paying the taxes they owe on time
- Filing their taxes with a false claim of income
Generally, the schedule for filing tax returns is every April 15th of each year. Someone must petition for an extension if they are aware that they will be unable to file their taxes by the deadline owing to a lack of supporting evidence or extremely complex filing requirements. The extension is beneficial because it will give them the extra time they require to compile all of their supporting papers and file everything meticulously so that there are no mistakes when the IRS examines their application. To be taken into account by the IRS, the extension must be submitted by the deadline for filing taxes. Basically, everything must be filed on time to avoid unnecessary charges.
