The commonly known deadline for filing your personal income tax return with the IRS is April 15, however the IRS does permit a six-month extension of the deadline. An extension can be requested by filing a form with the IRS prior to the due date of April 15th, requesting additional time to file your federal income tax return.
Extending your personal tax return provides additional time to file without penalty. This can be helpful or even necessary when you are waiting for missing information or tax documents such as 1099s or Schedule K-1s. It can also be beneficial if you qualify for additional retirement planning opportunities or need extra time to fund certain types of retirement plans.
The most common mistake when filing an extension is not paying the anticipated tax due by April 15. An extension offers additional time to file, but not additional time to pay the tax due for that tax year. Penalties and interest may be assessed if sufficient payment is not remitted with the extension, or the extension may be deemed “invalid”. If you are filing an extension, you will need to use the information available to you at that time and estimate your anticipated tax liability and remit the tax with your extension request.
Also, don’t forget to file your state extensions. Most states have extension forms separate from the federal form and different rules and due dates. It is important to give your state extension requirement as much consideration as the federal. In addition to the states, business entities also usually require federal and state extension requests separate from your personal income tax extensions.
Let ClarkSilva file your extensions. We file extensions on behalf of all our clients who require one. Contact us today. 401-702-0070.