MFS amended to MFJ and late filing penalty

[SFA]

Hypothetical situation: Married couple has filed extension. One spouse is self-employed the other has a W2. The self-employed spouse will not be ready to file by deadline.

Scenario: W-2 spouse files MFS by Oct 15, and the self-employed spouse misses the deadline.

After Oct 15, W-2 spouse amends return to include the self-employed spouse.

1st Question: Is there any late filing penalty for the self-employed spouse?

2nd Question: Can self-employed spouse make a 2015 payment without filing a return?

[BHoffman]

See IRM 25.6.1.9.4.4 - "The joint return is deemed filed on the actual filing date of the joint return where only one spouse filed MFS and the other spouse did not file and had gross income in excess of the exemption amount."

[RitaB]

51 minutes ago, SFA said:

Hypothetical situation: Married couple has filed extension. One spouse is self-employed the other has a W2. The self-employed spouse will not be ready to file by deadline.

Scenario: W-2 spouse files MFS by Oct 15, and the self-employed spouse misses the deadline.

After Oct 15, W-2 spouse amends return to include the self-employed spouse.

1st Question: Is there any late filing penalty for the self-employed spouse?

2nd Question: Can self-employed spouse make a 2015 payment without filing a return?

1)  If you are amending to include self-employed after Oct 15, yes, there is a late-filing penalty.  Self-employed missed the deadline, as you stated.

2)  Yes, I would print self-employed a 2015 1040-ES.

 

 

[Lion EA]

And, yes, one spouse can make a payment without filing a return.

[SaraEA]

I just had a MFJ couple who hadn't filed in two years (well, one died so that's a good excuse) and hadn't sent in the $14k ES payment I had calculated for them when their 2014 went on extension.  When the IRS sent a kind reminder to file,I had the living spouse send it in even before I completed the return.  Money accepted.  There ended up being a $5k overpayment, which I applied to the 2015 return.  When I filed the 2015, there was no way I could convince the program that the applied amount wasn't from a timely filed return so wasn't timely paid.  An IRS letter arrived shortly thereafter, charging interest for late payment of the applied refund.  Their programs must be better than mine.  I just told him to pay it.

[Pacun]

I will answer question 2.

A payment for 2015 can be sent without filing a return starting January 1, 2015 and if you want to file timely, you had until April 18, 2016 to file.

I wonder if I send an estimated payment today and I label it "ES payment for 2017" the IRS will return it to me or consider it for 2016.

 

[SFA]

Thanks for these answers. I will pass this info on to my hypothetical clients.