What Happens If You Miss the Tax Extension Deadline?

Missing the Tax Extension Deadline

If you didn’t file your return by the extended deadline, you may be wondering what happens next. Missing the tax extension deadline can trigger IRS penalties, interest, and collection actions. However, there are still steps you can take to minimize the damage and get back into compliance.

Penalties for Missing the Extension Deadline

The IRS charges different penalties depending on your situation:

• Failure-to-File Penalty – 5% of the unpaid taxes for each month (or part of a month) your return is late, up to 25%.
• Failure-to-Pay Penalty – 0.5% of the unpaid taxes for each month the balance remains unpaid, up to 25%.
• Interest – Accrues daily on unpaid taxes and penalties until the balance is paid in full.

See our article on tax penalties and interest for more details on how these charges add up.

What to Do If You Missed the Deadline

Even if you missed the extension deadline, you still have options:

• File as Soon as Possible – The longer you wait, the higher the penalties. File immediately, even if you can’t pay in full.
• Pay What You Can – Partial payments reduce the balance on which penalties and interest are calculated.
• Set Up a Payment Plan – Apply for an IRS installment agreement to pay over time.
• Request Penalty Relief – If you qualify, consider First-Time Abatement or Reasonable Cause penalty relief.

Frequently Asked Questions

What if I missed both the original and extension deadlines?

You’ll face both failure-to-file and failure-to-pay penalties, plus interest. Filing immediately reduces ongoing penalties.

Can the IRS waive penalties if I missed the extension?

Yes, in some cases. If you have a clean compliance history, you may qualify for First-Time Abatement. Reasonable Cause relief may also apply if special circumstances prevented you from filing.