QUESTION:
What happens if I file my tax return late?
ANSWER:
If you don’t file for an extension using Form 4868, which pushes your filing deadline to October 15, filing your income return late comes with a 5% Failure to File Penalty if you owe tax. The penalty is calculated for each month or pro-rated for partial months that the return is late. And the IRS charges interest on penalties until you pay your balance in full.
Depending on your situation, you may apply for a penalty abatement to have your fines reduced or eliminated.