The Approaching Tax Filing Deadline
The deadline to file 2024 taxes is Monday, April 15. If unable to meet this date, taxpayers can request a tax extension, which provides extra time to submit information without immediate penalty. This option addresses common delays without causing alarm.
What a Tax Extension Actually Provides
A tax extension solely extends the time to complete and file the return; it does not postpone payment of any taxes owed to the IRS. Owed amounts remain due by April 15, with payment plans available for those unable to pay in full. Applications must be filed by the deadline to qualify.
This extension avoids the late-filing penalty, calculated at 5% of unpaid taxes per month, capped at 25%, per IRS guidelines.
Common reasons why someone may need a tax extension include needing more time to gather 2023 information or extenuating circumstances, like a death in the family.
Filing Process for a Tax Extension
The process is straightforward and can be completed electronically. Most individual taxpayers use Form 4868, 'Application for Automatic Extension of Time to File U.S. Individual Income Tax Return.' Most states honor the federal extension automatically, but exceptions like New York necessitate a separate state form.
Most individual taxpayers would file Form 4868. Most states accept the federal extension, but some, for example, New York, require a separate state extension.
Qualifications, Penalties, and Refunds
No specific qualifications apply; all taxpayers qualify if the request is filed or postmarked by April 15. There is no penalty for requesting an extension on time. Taxpayers expecting refunds will not receive them until the return is filed, and electronic filing remains the fastest method per IRS recommendations.
All taxpayers would qualify as long as it’s filed/postmarked by April 15.
