What happens if you didn't file your taxes on time?

Now that the April 18^th tax filing deadline has come and gone, many Americans are faced with the fact that they will have to file late this year.

Although the thought of filing late likely causes feelings of anxiety, it's certainly not something to fear. However, you must understand that there are penalties associated with filing your taxes after the deadline and the longer you wait, the more penalties you may be required to pay.

If you owe money this year and didn't ask for an extension by midnight on April 18^th, you may be required to pay interest on the unpaid amount that you owe, plus face additional penalties for failing to file on time.

According to the IRS's website, the penalty for not filing your taxes on time is 5% for each month you are late, up to a maximum of 25%. Once your tax return filing is more than 60 days late, the minimum penalty will be either $135 or the amount that you owe including penalties, whichever is less.

The sooner you file your tax return, the less you will be penalized, even if you can't pay all or some of the taxes you owe. If you haven't filed yet, try to get it done as soon as possible and avoid having to pay more than you should.