Owe the IRS and paid late? Estimate the failure-to-pay penalty and interest so you know roughly what you’re looking at — before you call.
This is a rough estimate using standard IRS rates (failure-to-pay 0.5%/month, failure-to-file 5%/month up to 25%, plus approximate interest). Your actual penalty depends on exact dates, rate changes, and your situation. Not tax advice — confirm with the IRS or a tax professional.
The IRS charges separate penalties that are calculated in different ways, and the most important thing to know is that failure-to-file is usually far steeper than failure-to-pay. That is why filing on time matters even when you cannot pay in full: filing stops the larger penalty from running. On top of penalties, interest accrues on the unpaid balance until it is paid.
The three you are most likely to see are failure-to-file, failure-to-pay, and the underpayment (estimated-tax) penalty, each with its own rate and cap. First-time penalty abatement or reasonable-cause relief can sometimes remove them if you have a clean recent history. The estimator above frames the likely charge so you know what you are dealing with before you respond to a notice.
What this tool looks at:
Failure-to-file is for not filing a return on time and is usually the steeper penalty; failure-to-pay is for not paying the tax owed. Filing on time even without full payment avoids the larger one.
It is based on the amount you underpaid during the year and how long it went unpaid, at the IRS interest rate for the period. It applies when too little was paid through withholding or estimates.
Sometimes. First-time penalty abatement and reasonable-cause relief exist for taxpayers who qualify. It is worth requesting if you have a clean recent filing history.
Yes. Interest runs on unpaid tax (and can run on penalties) until the balance is paid. Main AI can read your notice and explain the charges; this tool is informational and not tax or legal advice.
This tool is general information, not legal, medical, or financial advice. Rules vary by state and change over time; verify anything important against your state’s current rules or a qualified professional.