With the May 17 tax filing deadline just days away, many Americans are rushing to get their forms and documents together.
To help answer any last-minute questions you may have, CNBC Make It compiled its coverage from this tax season all in one place, with answers to some of the most common tax questions.
Why is Tax Day later this year?
Tax Day is traditionally April 15, but was pushed back to May 17 for a slew of pandemic-related reasons, including that the Internal Revenue Service (IRS) was busy sending out stimulus checks to tens of millions of Americans and is still working through a large backlog of 2019 returns.
For most Americans, the latest you can file your federal tax return is May 17. Many tax offices, including H&R Block locations, will be open through Tax Day to help Americans get their taxes in on time. If you’re planning on mailing in your tax documents, you’ll need to ensure the package is postmarked by May 17.
What happens if I file my taxes late?
The answer depends on if you owe taxes to the IRS or if you expect to receive a refund.
If you owe money, the penalty for not filing your taxes on time is 5% of your unpaid taxes for each month that the return is late, maxing out at 25%. If you file but fail to pay, the IRS will charge you 0.5% a month, up to 25%.
If you expect to receive a tax refund, there is no punishment for not filing your federal return, but you are depriving yourself of the funds that the IRS has set aside for you.
