Tax filing and payment can be tedious tasks filled with complications. At AG Tax we work with your specific tax situation to avoid these potential headaches. Here are a few worthwhile tax tips, involving filing and payment options (especially relevant for those anticipating a tax bill).

U.S. Tax Filing Tips

File your tax returns as early as possible: The failure-to-file penalty is generally more than the failure-to-pay penalty. If you owe federal income tax, you should file and pay as soon as you can to minimize any penalty and interest charges. The IRS does consider a reduction of penalties if there is a reasonable cause for being late with the tax payment.

E-file: IRS e-file programs are easy, safe and accurate. With e-file, you will receive confirmation that the IRS has received your tax return, and if there’s a refund due, the IRS will normally issue it within 21 days. It is always advisable to consult your AG Tax consultant regarding your specific situation before filing.

Refunds: If you’re due a refund, you should file as soon as possible in order to receive it. Even if in the current year you are not required to file, still consider doing so, as you may be entitled to a refund if there were taxes withheld from your earlier wages, or if you qualify for certain tax credits. If you don’t file your return within three years, you could forfeit your right to the refund.

U.S. Tax Payment Tips

Electronic Funds Transfer: Generally speaking you can always pay your tax liability by cash, check, or money order. You can also pay your tax bill by electronic funds transfer using the ‘Electronic Federal Tax Payment System (EFTPS) provided on the IRS website ( or by calling up 800-555-4477. It is one of the most convenient ways to pay your taxes.

Credit and/or Debit card payments: Credit or Debit Card payments may result in additional expenses such as transaction fees and/or interest charges by the credit card company. However, these fees and charges may prove to be lower than the fine and penalties involved in an IRS late payment plan.

Loan to pay off tax bill: If due to circumstances the need arises to take out a loan to pay off the full tax liability; consider doing so, since the interest rate for a loan may be less than the interest and penalties the IRS will charge. Talk to your AG Tax consultant since he/she would be able to give you a better estimate depending on your situation.

Check withholding taxes: For future tax years, you may consider increasing the taxes withheld from your pay to avoid owing taxes. To do this, file a revised Form W-4, Employee’s Withholding Allowance Certificate, with your employer. We, at AG Tax, can assist you in figuring out the required withholdings.

 AG TAX LLP Can Help

If you have any other tax-related queries, and/or need assistance with tax planning/filing please contact AG Tax. Our tax professionals are highly-experienced with U.S. and Canadian tax laws and can provide you the right guidance to handle your tax situation.

Aylett Grant Tax LLP is a full service accounting firm with a dedicated team of experts, who are highly-qualified and experienced in handling situations related to U.S., Canada and other international tax laws.

We can assist with:

  • Canadian Personal and corporate tax returns
  • Cross Border Taxation and Business Planning
  • Personal and Corporate Taxation
  • Disclosure of Foreign Assets and other information filings
  • Retirement planning
  • Estate Planning, Inheritance tax advice

To obtain a quote or to arrange for a consultation to discuss your tax related queries, please contact us at:

  • 416-238-5920 (Greater Toronto Area, ON)
  • 604-538-8735 (Greater Vancouver Area, BC)
  • 780-702-2732 (Greater Edmonton Area, AB)


Disclaimer: The information in this publication is accurate as of the time of its publication. AG Tax assumes no responsibility for changes to tax legislation subsequent to the publication of this document. The information provided is for general information purposes only and should not be acted upon without seeking professional advice. If you would like to engage our services, please contact our staff and obtain authorization to send our firm confidential information. A client relationship is not created by the transmission of information. A client relationship is only formed with our firm when a scope and engagement letter signed by the firm and the potential client detailing the terms of engagement is present.