Taxpayers experienced significant challenges during the COVID-19 pandemic. Because of this, the IRS issued Notice 2022-36. This issue includes relief of penalties to select people and businesses who filed late 2019 and/or 2020 returns. Expatriate Tax Returns has helpful information to keep you off the tax hook. Contact us today to see if you qualify for those 2019 and 2020 returns.
If you already paid penalties for these filing years, don’t fret! By the end of September, 1.6 million taxpayers will receive over $1.2 billion in refunds or credits.
If you failed to file federal taxes by April 18, 2022, tax filing deadline, this penalty relief is for you. Penalties for missing this deadline are often implemented at a monthly rate of 5% and go up to 25% of unpaid taxes. This relief includes the 1040 and 1120 form series, along with documents associated with Notice 2022-36.
To qualify for this relief, file eligible income tax returns at www.expatriatetaxreturns.com by September 30, 2022.
People who are required to file various returns (banks, employers, businesses, 1099 workers, etc.) also have a chance of penalty relief. All eligible 2019 income tax returns must have been filed by August 1, 2020, and 2020 returns must have been filed by August 1, 2021, to qualify for this relief.
Some exclusions to this relief apply. Disqualifications include but are not limited to:
- Filing of a fraudulent return
- The penalty was accepted as an offer to resolve an agreement
- Penalty enacted by court determination
If you have questions about late tax filing or other tax concerns, visit www.expatriatetaxreturns.com to connect with an expert.