If you filed for an extension on your taxes earlier this year, it’s important not to miss the upcoming deadline. The extended deadline for filing your federal tax return is October 15th, so mark your calendar and make sure you have everything in order to meet this deadline.
Filing for an extension gives you an additional six months to file your tax return, but it does not give you an extension on paying any taxes owed. If you owe taxes, you are still required to estimate and pay the amount owed by the original tax deadline in order to avoid penalties and interest.
If you miss the October 15th deadline, you may face penalties and interest on any unpaid taxes. The failure-to-file penalty is typically 5% of the unpaid taxes for each month or part of a month that your return is late, up to a maximum of 25%. The failure-to-pay penalty is 0.5% of the unpaid taxes for each month or part of a month that the taxes are not paid, up to a maximum of 25%. In addition, interest will accrue on any unpaid taxes.
To avoid these penalties and interest, be sure to file your tax return by the October 15th deadline. If you need more time to file, you can request an additional extension, but keep in mind that the IRS is generally not lenient with granting extensions beyond the October deadline.
Gather all of your necessary documents and information, such as W-2s, 1099s, receipts, and other financial records, to ensure that you are able to accurately complete your tax return. If you are unable to file by the deadline, consider hiring a tax professional to help you navigate the process and ensure that everything is filed correctly and on time.
Don’t let the October 15th deadline sneak up on you. Take the necessary steps now to ensure that you are prepared to file your tax return by the extended deadline and avoid any penalties or interest. By staying organized and proactive, you can successfully meet the deadline and keep your tax affairs in order.
Christina