Frequently Asked Questions

I can't pay my tax at the time the return is due. What are my options?

The first thing to realize here is that the interest charged on "late paying" your tax is .5% per month, while the "late filing" penalty is 4.5% per month. Even if you cannot pay, you can save yourself quite a bit of money by filing your returns on time.

Can I get an extension so that I don't have to pay until October 15th?

Unfortunately an extension is not an extension to pay, only an extension to file. You are required to pay any tax you owe with your extension.

I have not filed an income tax return for a few years, and I just received a letter in the mail stating that I owe for a year that I have not filed for. Should I pay it?

NO! If you neglect to file an income tax return, the IRS can/will file one for you. It will be based on reported income, not including any expenses.  Your best option would be to file a return for the time period stated, including all income and expenses, and pay whatever tax you owe.

How far back can I file income tax returns that have not been filed?

You can file many past years income tax returns, however if you are due a refund you can only receive on for three most recent years.

I think my last preparer made errors on my income tax return. What should I do?

Errors and omissions are unfortunate, but they do occur. First try and return to your prior tax preparer and see if they will help you to amend your return. If they will not, it will be necessary for you to enlist the help of someone who will.

I want to start a new business. I have heard many things about LLC's and Corporations. Which one is better?

Each type of business entity has very specific applications; it is a difficult choice and will require research and time.  In doing research, ensure you speak to your tax professional to see what kind of tax liabilities are present in each entity.

What are the latest tax law updates?

See recent tax updates here.