It’s April 15th and you just realized you forgot to file your tax return. Now what?
Well. For starters, you should file your return as soon as possible. The less late it is, the better, as you’ll incur less penalties and interest if you owe taxes. It really depends on how much you owe, as the late filing penalty is 5% of your monthly bill (and yes, a day late counts as a month. The penalty is not pro-rated). Interest is also charged on your amount due, and the rate varies with the market.
However, if you don’t actually owe the government anything, then you reap no punishment. You’ll just get your refund later than expected. You can file up to three years late and still get a refund if you don’t owe any taxes, though this is not common and definitely not recommended!
Does one day really matter?
The only answer is that you have to assume it does. It’s better to be prepared to deal with a small tax bill for interest and penalties than to be surprised. If you mail your return, the IRS keeps the envelope and checks the postmarked date for the very reason of assessing penalties to late returns. So file your return in a timely manner and avoid paying extra than you need to.
