If you received an extension to file your federal and state tax returns and still need to file, you must do so by October 15 to avoid interest and penalties. With the Tax Filing Extension Deadline quickly approaching, here’s what you should know:
Here are two reminders for taxpayers who requested a tax-filing extension.
- File any time before October 15, in most years.
Tax payers who have requested an extension to file their tax returns can file at any moment before the Friday, October 15 deadline. As long as they have all of the necessary documents. They can also e-file or use tax return preparation software for free through the IRS Free File program. Those who owe taxes but are unable to pay them by October 15 should file and pay as soon as possible. The sooner they file their return, the sooner any interest and penalties will stop accumulated.
- Pay any balance due
Taxpayers who are due a refund should deposit the money into their bank account or use it to pay down debt. If their return is due a balance, it is best to pay it by October 15 to avoid interest and penalties.
What Tax Filers Should Know About the Tax Filing Extension Deadline
Filing an extension gives taxpayers more time to file their returns. Here are the key reminders that tax extension filers need to keep in mind:
• File Form 4868 by October 15 . Filing an extension does not give an automatic six-month reprieve from paying taxes. Filing an extension lets you have more time to file, not more time to pay taxes.
• Pay at least 90% of taxes owed by October 15 . Failing to pay on-time could result in interest and penalties on the amount owed to the IRS. If an extension filer cannot pay by the deadline, they should contact the IRS about options to payment.
• Get copies of all tax forms and schedules that were previously filed . Extension filers will need these documents to complete Form 4868. Form 4868 cannot be electronically filed, so taxpayers must use paper forms.
• Request a reminder on Form 4868 if the taxpayer will need an additional six months to file .