Some of our “current Year” clients come in to see us on April 15th. When they do we often ask “why did you wait so long?” Their response usually has something to do with the fact that they knew they owed and didn’t want to pay the IRS before they had to. To this we usually respond with “you can file your return at any time before the April 15th deadline, EVEN if you have a balance due. The payment isn’t due until April 15th and interest and penalties don’t start running until AFTER that date.”

With that said, here are some key things every taxpayer should know about interest and penalties.

No Penalty Situatio