Everyone pays taxes of one type or another. The most common types are income taxes and sales taxes. There are services in our society that simply would not be available if weren’t for taxes. Uncle Sam uses your federal tax dollars to provide Social Security, health care, social services, and to fund national defense priorities. Click here to read or watch more IRS Help resources.
Your city also provides services such as police and fire protection, funding for public schools, and trash collection. As such, no one individual could afford to pay for the services they receive. Each person would be required to pay the full fee for services, regardless of their ability to pay, or not to pay. Fortunately, the tax system is based on everyone’s “ability to pay.”
Thus, the more a person earns, the more taxes they are expected to pay. On occasion, a taxpayer will miss the tax deadline. If you’ve missed the tax deadline, the first thing to do is—don’t panic. The world won’t stop spinning on its axis. However, the fact that you haven’t filed your taxes warrants action on your behalf.
Taking action has its positive consequences. Not taking action has its consequences as well. The following steps can help get right back in step with life.