Every new year begins with Americans receiving documents like W-2 and 1099 forms in the mail, kicking off tax season. While tax day is not a holiday in the traditional sense, you may still have it circled on your calendar – especially if you are a solopreneur, independent contractor or small business owner. Clear View Business Solutions can help you file your tax return while minimizing the stress you may feel about the process.

The History of Tax Day in the U.S.

The origin of tax day dates to 1913, following the ratification of the 16th Amendment to the Constitution, which gave Congress the authority to impose a federal income tax. March 1 was the original deadline to file taxes – chosen to give taxpayers approximately one year after the income tax law became effective to prepare their returns.

The deadline changed over the years, first to March 15 in 1918 and finally to April 15 in 1955. The IRS made these adjustments to ease their employees’ workload and give taxpayers more time to gather their documents and file their returns.

What Happens If You Don’t File by April 15?

Failing to file your federal or state tax return by April 15 can result in penalties and interest charges. The IRS imposes a failure-to-file penalty, typically 5% of the unpaid taxes for each month or part of a month that a tax return is late. These additional costs can accumulate quickly if you owe taxes and don’t file on time.

You can request a deadline extension, which gives you until Oct. 15 to file your tax return. However, remember that an extension to file is not an extension to pay. If you owe taxes, the IRS still expects you to estimate and pay what you owe by April 15 to avoid penalties and interest.

Simplifying Tax Season With Clear View Business Solutions

The tax code can be confusing, but you don’t have to unravel its complexities alone. Clear View Business Solutions specializes in simplifying tax planning for our clients. Our team of experts stays abreast of the latest tax laws and regulations, helping you take advantage of all available deductions and credits. We can also guide you through filing an extension, estimating quarterly taxes, amending previous returns and developing strategies to minimize your tax liability.

Whether you need to file taxes as a self-employed person, a small business owner or nonprofit organization, Clear View offers tailored services to meet your needs. Our personalized advice and solutions will take the stress out of tax season for your confidence and peace of mind.

While tax day may never become an official federal holiday, understanding its history and hiring an experienced accounting firm to mitigate the complexities of filing can transform tax season into a manageable financial experience. With Clear View’s experts by your side, April 15 will become a valuable opportunity to review, plan and optimize your financial well-being for the year ahead. Contact us to request our services.