The bulk of tax season is finally winding down after being extended beyond a normal mid-April deadline for the second straight year. Due to a backlog of returns being sorted by the Internal Revenue Service (IRS) and restrictions imposed because of the coronavirus, filing for the last two years has been considerably different than what many taxpayers and accountants have typically dealt with in the past. The automatic additional time may be viewed as a bonus but for many the need to file a formal extension remains.
Getting an extension of time to file your tax return
is considerably more commonplace than most individuals believe. However, due to its name there are a few misconceptions surrounding the practice. Remember, if you are in need of additional time, there is an option but each individual’s unique tax situation will ultimately determine if filing an extension is the appropriate course of action.
Extension or not, a filing is still required by the IRS determined due date - May 17 this year (2021). An electronic submission can be executed and, if accepted, gives taxpayers additional time in order to file their tax return paperwork.
For individuals, an accepted extension grants them six more months to submit their return. However, this date remains in line with April’s normal filing deadline even though the due date falls in May this year - extension returns are due by October 15.
Probably the biggest misconception is that filing for an extension gives taxpayers additional time to submit their payments, however, this is untrue. An extension applies only to the paperwork associated with a return and payments must be submitted by the original due date in order to avoid any penalties and interest. Even if your return remains incomplete, an approximate amount should be turned in with the extension filing to help offset any difference once the return is completed.
If you’re expecting a refund, then filing an extension without payment is okay because only the refund to you is going to be delayed. Once your return is filed, then any amounts owed will be released and returned following receipt of your completed return.
Should you need help determining if an extension is appropriate for your situation, are in search of answers to tax related questions, or have any other tax issue then let the professionals at Bloch Rothman and Associates
assist you today. In addition to providing answers for your questions, they can also take care of multiple other situations like dealing with owing back taxes, required audits signaled by either the IRS or an outside agency, or any other personal or corporate wealth management issues. Along with providing a top quality tax service, our group can also complete all types of returns and get answers to any other factors associated with financial issues or concerns you may have. Serving Denver and all of the surrounding areas for 35 years, our firm has an extensive history in helping clients with any and all of their tax issues or dealings with the Internal Revenue Service. If you have questions about your personal, business, estate, or any other filings, don’t hesitate to contact us
today. Available for all of your tax needs, there are also a number of bookkeeping and payroll services offered to assist you and your business. We look forward to meeting you and providing the type of service you can rely on whatever your needs may be very soon!