This year, the tax deadline is April 17, which is quickly approaching. However, you need more time to get everything accomplished! Sounds like you need an automatic six-month extension from the IRS. Here’s what you need to know about filing an extension:
More time to file is not more time to pay
This is important! An extension to file gives you until October 17 to file your taxes; it does not give you more time to pay your taxes! You must estimate and pay what you owe by April 17 in order to avoid a late filing penalty. You will be charged interest on any tax that you do not pay on time.
Use IRS Free File to file an extension
Available on IRS.gov, IRS Free File is where to go to e-file your extension request for free. You must e-file the request by midnight on April 17. You also will need to return to Free File to e-file your taxes for free. You can access the program at any time through Oct. 17.
Still not sure if an extension is the right move for you? Check out this slideshow to learn more about the tax extension process.
Use Form 4868
If electronically is not your thing, you can request an extension by filling out Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return, but time is running out. You must mail this form to the IRS by April 17.
Use IRS Direct Pay
Visit gov/directpay to use this free and secure way to pay from your checking or savings account. This is a safe, fast and easy way to pay your tax. There are also other electronic payment options. The IRS will automatically process your extension when you pay electronically. You can also pay by phone.
If you can’t pay what you owe or need a little help, check out this great article from Rea’s own Michelle Albro. Of course you can always email our tax team at Rea & Associates for help along the way.
By Ryan Dumermuth, CPA, CFP (Mentor office)