# How to calculate interest/penalty on late taxes?



## jason2004 (May 25, 2015)

I was aware of 2 months automatic extension for US taxpayers abroad – but I didn’t understand that this only apply for filling – not for paying. 

So it looks that I have to pay some interest on amount of tax I owe to IRS since April, 15. Do I have to pay any penalty?

How´s one supposed to know how much to pay exactly? Where can I calculate interest charges and any applicable penalty fee?


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## Bevdeforges (Nov 16, 2007)

Tax Topics - Topic 653 IRS Notices and Bills, Penalties and Interest Charges
and
Interest Rates Remain the Same for the Second Quarter of 2015

This is precisely why you may want to file a 2555 in order to exclude your earned income from overseas. Check Publication 54 on the IRS website for more information: Publication 54 (2014), Tax Guide for U.S. Citizens and Resident Aliens Abroad
Cheers,
Bev


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## jason2004 (May 25, 2015)

Bevdeforges said:


> This is precisely why you may want to file a 2555 in order to exclude your earned income from overseas.


Unless I’m missing something I don’t think I can exclude any self-employment income from oversees filing 2555.


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## diharv (Jan 1, 2014)

jason2004 said:


> I was aware of 2 months automatic extension for US taxpayers abroad – but I didn’t understand that this only apply for filling – not for paying.
> 
> So it looks that I have to pay some interest on amount of tax I owe to IRS since April, 15. Do I have to pay any penalty?
> 
> How´s one supposed to know how much to pay exactly? Where can I calculate interest charges and any applicable penalty fee?


I wouldn't do them any favors. Let them calculate it and come after you for it. If they want something extra , don't worry , they will let you know. I have had penalties waived in the past but not interest unfortunately. But I would not try to figure it out myself because chances would be my figures would be incorrect.


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