Tip: Find out now if you owe taxes this year
RICHMOND, Va. (WWBT) - Seventy-eight percent of Americans got a tax refund in 2019. But that also means millions of Americans owed money.
If you owed taxes before, or think you could again, you might want to figure it out so you can best plan for the spring.
Cherry Dale, a financial coach with the Virginia Credit Union, says waiting until the last minute can be devastating for some families who end up with a major bill in April.
“My advice would be to at least figure out how much you’re going to owe come April 15th and make sure that you have money set aside in order to pay those taxes,” Dale said.
If you owe taxes it may be subject to penalties and interest, Dale says don’t wait until the filing deadline to file your return. You want to come up with a plan now to save up the money.
You can send an estimated tax payment, or file early, and pay as much tax as you can. There are also assistance programs available.
April 15 is the filing date for taxes and the deadline to apply for an extension, for those who owe money and need more time.
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