Question
In 2019, Paul, who is single has a comfortable salary from his job as well as income from his investment portfolio. However, he is habitually
In 2019, Paul, who is single has a comfortable salary from his job as well as income from his investment portfolio. However, he is habitually late in filing his federal income tax return. He did not file his 2018 income tax return until December 4, 2020 and no extensions of time to file the return were filed. Below are amount from his 2019 return:
Taxable income $132,605
Total tax liability on taxable income $26,000
Total federal tax withheld form his salary $ 18,000
Paul sent a check with his return to the IRS for the balance due of $8,000. He is relieved that he has completed his filing requirement for 2019 and has met his financial obligation to the government for 2019.
Has Paul met all of his financial obligations to the IRS for 2019? If not, what additional amounts will Paul be liable to pay to the IRS?
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