Original article by Debbie DiVito, CPA, Women & Co.
3 Things to Know Before April 15th!
Calling all you procrastinators! If you’re freaking out about needing to file a tax extension – take a deep breath. Our fabulous friends at Women & Co. have 3 easy steps to help you file your tax extension… ON TIME.
If you’re looking for extra time to file your tax return, you may be able to get an additional six months by filing for an extension. But keep in mind, while a tax extension may be just the quick fix you need, it won’t solve all of your problems. If you do you need to buy some extra time before filing – here’s what you need to know!
1. You MUST file a tax extension ON or BEFORE the regular tax deadline.
2012 tax returns and extensions are due on Monday April 15th. An “extension” is the way to ask the IRS for more time to file your tax return. Usually, filing for an automatic extension will extend your filing deadline by six months (making your return due on October 15, 2013).
2. The money you owe is still due on April 15th!
In other words, if you’re filing an extension, you need to estimate the amount of taxes you owe and make a payment at the same time you submit your extension paperwork. The IRS gives an extension on your paperwork, not the money you owe them! That means paying at least 90% of the taxes you owe, otherwise you risk facing a late payment penalty. You can learn more about the price of late payment on the IRS Website.
3. There are exceptions to the rule…
There are special considerations for U.S. citizens and resident aliens who are out of the country on the tax deadline. That means that, if you meet the requirements, you may be eligible for an extra two months to file your return and pay what you owe. Read more about these special rules on the IRS website.
If you have additional questions about filing a tax extension, speak with your tax professional or accountant to learn more. Happy taxes!| Print