IRS Warns of Higher Penalties for Tax Returns Filed after Sept. 14

This year, tax season may have seemed a bit more lax for a lot of taxpayers. The filing deadline was extended to July 15 as a result of the coronavirus pandemic and the quarantine that it prompted. Since it was harder for people to get in to see a tax professional with everything being closed, the IRS allowed for more time for people to file their returns.

However, even though the deadline was extended, it was not suspended. Yet many people still have not filed their returns, and the IRS is now warning of steep penalties if they do not do so. Consulting with a Phoenix tax lawyer to learn about these penalties is essential.

Man calculating bills tax expenses

Coming Deadlines

The hard deadline for filing a return before large penalties kick in is Sept. 14. Penalties will already be accruing if you have not yet filed, but even bigger penalties will begin after Sept. 14 if you do not file by then.

You may have known that you were not going to make the July 15 deadline and had the foresight to file an extension. If you did, you have until Oct. 15 to file your form 1040 personal return and not face a penalty for failure to file. However, the extension to file is not an extension to pay. If you end up owing taxes, you will still face interest and penalties on that amount, starting from July 15.

If you owe any taxes on an entity return required to file by September 15, 2020 (assuming you extended the return), whether you have filed your return or not, you should pay what you can now. And you should file your return by Tuesday with help from a Gilbert tax attorney if you want to avoid additional penalties.


The penalty for failing to file your federal return is a steep one, and if you already owe taxes, you don’t need to make it worse by paying a steep penalty. The penalty for failing to file a return is usually 5 percent of any unpaid tax for each month (or part of a month) that you are late. The fee accumulates up to a maximum of 25 percent of the taxes that you owe.

If you do not owe tax but are instead due a refund, you will not be charged the late filing penalty. If you are faced with these penalties, consult with a trusted Phoenix tax law firm.

Penalty Relief

You may apply for penalty relief if you have not been assessed any tax penalties in the last three years. You also apply for penalty relief if you did not file on time because you had reasonable cause, such as a serious illness. If you are approved, not only will you not have to pay the penalty, but you will also avoid paying interest on your unpaid tax.


You may not have filed your return because you know that you cannot pay the tax you owe. If that is the case, consider applying for a tax payment plan. You may be able to set up an installment agreement to pay back your tax over time. You can apply for this plan direction on the website.

You will have to meet qualifying criteria to have a payment plan approved. If you apply for a payment plan and are denied, talk to a Phoenix tax attorney about your options. Your attorney may be able to negotiate a settlement or a payment plan for you, depending on your circumstances.

Filing Options

The IRS tries to make it easier for taxpayers to file on time. You can use the Free File option on to file through October 15. If you want to avoid owing taxes in the future, you can use the Tax Withholding Estimator on the site to determine how much you should have deducted from your check each month or you can make quarterly estimated tax payments.

In the meantime, talk to a Gilbert tax attorney if you have not yet filed or if you are dealing with a huge tax debt that you feel you cannot pay. Your attorney can help you understand your options to pay, get relief, or negotiate a settlement to minimize penalties.

Contact Silver Law PLC if you need tax help. Our Gilbert tax attorneys may be able to represent you during an audit, to help you negotiate your tax debt, or pursue other relief. We’ll help you understand your rights and responsibilities so that you can avoid or minimize penalties.

Silver Law PLC

Arizona Location
7033 E. Greenway Pkwy, Ste 200
Scottsdale, AZ 85254


Nevada Location
410 South Rampart Blvd, Suite 390
Las Vegas, Nevada 89145

Office: 702-318-7130

| Leave a comment

Leave a Reply

2024 badge for Best Lawyers in USA 2023 badge for Best Lawyers in USA 2022 badge for Best Lawyers in USA 2021 badge for Best Lawyers in USA 2020 badge for Best Lawyers in USA 2019 badge for Best Lawyers in USA 2018 badge top-tier Scottsdale tax lawyers at Silver Law PLC best-law-firm-award-2017 Silver Tax Law best tax lawyers in America 2016 Silver Tax Law best tax lawyers in America 2015