Taxpayer asks:
I missed the April 15 filing dead line, can I wait next year to file my taxes? Owe IRS from year 2007. IRS told me to respond by 15 of April but didn’t. Actually I was in jail for unpaid ticket during 15 of April, ply advise.
Taxgirl says:
There’s absolutely no reason to wait until next year to file. None. If you wait, you’re just going to continue to accrue interest and penalties. And clearly, since the IRS has been in contact with you regarding your 2007 taxes, you’re on their radar.
You should file as quickly as possible. You’ll also want to get that 2007 obligation taken care of. It’s worth noting that the IRS will not be willing to work out an installment plan or other relief if you’re not current with respect to your filings.
If you owe for 2008, you are going to be subject to a penalty for failure to file timely if you owe taxes. Since you were, um, indisposed (*cough*) on Tax Day, you might (and I really mean might) get some sympathy in the form of a penalty abatement. I wouldn’t count on it – though it probably couldn’t hurt to ask. However, in almost every case, you have to pay the penalty first before you can ask for the abatement.
Go file. You’ll feel better. And stay out of trouble. You’ve got my mom sensibilities in high gear.
Like any good lawyer, I need to add a disclaimer: Unfortunately, it is impossible to give comprehensive tax advice over the internet, no matter how well researched or written. Before relying on any information given on this site, contact a tax professional to discuss your particular situation.
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No extensions necessary for President Obama and Vice President Biden. Both have their tax returns for 2008.
Here’s the scoop:
President Obama and his wife reported $2.7 million in 2008, about $1.5 million less than they reported in 2007 (I guess the recession has hit everyone). A majority of their income came from royalties from Obama’s books (note to self: get book deal).
The Obamas reported $172,050 in charitable donations. The largest donations were made to CARE and to the United Negro College Fund.
Their total tax bill? $855,323.
Vice President Biden and his wife reported total income of $269,256 last year (Biden needs to get himself a book deal). Of that, they donated $1,885 to charity and paid $46,952 in federal income tax.
My four year old is obsessed with tea parties right now. If she were aware that tomorrow was National Tea Party Day, she’d be absolutely delighted. Once she realized that meant little in the way of fancy dresses, she’d be pretty disappointed. Thousands of taxpayers across America, however, are energized about the National Tea Party Day.
National Tea Party Day will take place on Tax Day, April 15. Organizers hope to see high numbers at the Taxed Enough Already (TEA) party rallies across the country. There are, as of this writing, 2,027 cities hosting tea parties – you can find one near you on their web site.
While I’ll admit to being intrigued at the idea of a tax protest, I was quickly disappointed when I visited the site. I agree that our deficit it out of control. I am concerned about selling our debt to countries like China. I am not a fan of special interest groups. And those of you who follow the site know that.
It was, then, dispiriting to see an opportunity to have a conversation about real tax policy (something I’d love to see in this country) devolve into a political diatribe. On the front page, mixed in with concerns about tax, there are such tidbits as criticizing the Congress and the President who would “appoint a defender of child pornography to the Number 2 position in the Justice Department” and “want to force doctors and other medical workers to perform abortions against their will.” Abortion and judicial appointments? Really? There are also concerns rallying against immigration, universal health care and more – though at least those parts could arguably be linked to tax.
Please don’t misinterpret what I’m saying. I’m not criticizing the politics (though I clearly don’t agree with all of them). I’m just surprised that the organizers of the event have passed on the occasion to make a unified statement about our tax system that would have appealed to the general population – and instead let it become a shockingly disjointed display of “values” (however you define those).
Why can’t we just talk about tax? Wouldn’t that be a great thing to do at a Tax Day Tea Party? All that stuff that organizers buried on the News Page? Tax effects on the middle class? Charitable contribution limits? Skyrocketing deficits? That’s the stuff that will get people talking. That would have made for an awesome Tea Party on Tax Day.
I tried to reach out to some tea partygoers on twitter – but no takers for an interview. (Quick update: I’ve been promised some feedback from one of the parties – come back for the scoop!)
