Q: Should I submit my tax information if I am still waiting on certain documents, such as a 1099 or K-1?

A: While having all your documents before we begin is preferable, you may send most of your information if only a few items are pending. Please include a note indicating which documents are outstanding.

Q: If I submit additional information later, will it delay my tax return?

A: We process returns in the order that we receive them (first in, first out) based on the date we receive the bulk of your information. We recommend sending any missing documents as soon as they become available to avoid delays.

Q: The due date falls within the estimated turnaround time—will my tax return be filed late?

Not necessarily, though it’s a possibility. Multiple communications may be required, and timely submission of all necessary documents is essential for us to complete your return on time. We will make every effort to file your return by the due date.

Q: What are the penalties if my return is filed late?

A: 1040 Individual Returns: There are no penalties for late filing if no taxes are owed. If taxes are due, penalties and interest will accrue based on the amount owed. Business Returns: The penalties for late filing depend on the number of K-1s issued, typically around $220 per K-1 per month. To avoid these penalties, it’s essential to provide all required information promptly.

Q: What does it mean if my tax return is extended?

An extension grants you additional time to file your return but does not extend the time to pay any taxes owed. There is generally no balance due for business returns (Forms 1120-S or 1065), so no penalties are incurred as long as an extension has been filed and you file the tax return by the extended due date.

Q: What are the extended due dates if I file for an extension?

A: Federal Individual Income Tax Returns (Form 1040): Mid-October (usually 10/15). Business Returns (Forms 1120-S and 1065): Mid-September (usually 9/15)

Q: Will I incur penalties if my return is extended?

A: The IRS requires that tax liabilities be paid by the original due date (usually 4/15). If taxes remain unpaid after this date, penalties and interest may apply. However, no penalties are incurred for filing 1120-S or 1065 returns by the extended date of 9/15.

Q: Will filing an extension raise a red flag with the IRS?

A: No. Extensions are common for individuals and businesses. Filing an extension does not increase the likelihood of an IRS audit.

Q: How will I know if my return has been extended?

If your return is not completed by the original deadline, we will automatically file an extension on your behalf. Please contact our office if you need confirmation or proof of the extension.

Q: Is a second extension available for my tax return?

For most types of returns, there is no second extension. If your return is filed after the extended deadline, penalties may apply, so you must provide any outstanding information as soon as possible to avoid further delays.