With the April 15th tax deadline quickly approaching, millions of Americans are stressed about getting their taxes filed on time and paying Uncle Sam any tax balance due. What taxpayers aren’t aware of, however, is that filing a tax extension will not only get you 6 more months to file your taxes, but could also provide you with the cheapest loan around, directly from the IRS.
While the popularity of tax extensions is growing due to increased complexity in tax code and a tough economy, many misconceptions still surround extensions. For example, many believe an extension to file your taxes increases chances of audit. That’s not true. If anything, a tax extension lessens one’s chances of being audited.
A fair warning to the corporate tax filers out there:
The 2010 corporate tax deadline is March 15, not March 16.
I have seen several websites publicize March 16 as the deadline date (I won’t link to them because we all make mistakes). I think the reason why there might be confusion is because the 2009 corporate tax deadline was March 16. The reason why it was March 16 was because the 15th fell on a Sunday. This year March 15 is on a Monday…and that Monday is not a federal holiday.
By no means am I trying to rob anyone of an extra day to file their corporate taxes. I just want people to have the correct info.
If that actual date doesn’t make any difference and you’ll need more time anyway, remember that you have the option to file a corporate tax extension. You’ll get an extra 6 months to file your taxes.
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. This series is intended to show taxpayers that a tax extension is valuable because it saves individuals and/or their businesses time, stress, and even money.
Today’s reason on our Top 100 list has to do with your chances of being audited. That word, audit, sends a chill down all of our spines when we hear it. The great news is that if you file a tax extension, the chances of you being audited are believed to be less than if you file your taxes on time.
While you’re still getting used to the New Year (happy 2010 by the way), I thought I’d share a little interesting fact for you to ponder – there are only 100 days until your taxes are due on April 15.
I’m sorry to be the bearer of bad news. But I thought you should know.
Yes, that dreaded day of tax reckoning is going to be here before you know it. And if you’re like millions of Americans, it doesn’t matter if I remind you every day from now until the deadline. You’ll still need more time. That’s why more and more taxpayers (more than 9 million last year) file a tax extension to get an extra 6 months to file their taxes.
The super-talented FileLater Support Team let me know that they are back at work after a short Holiday break and that they’ve been getting a lot of questions in the last 72 hours like this:
When can I efile a tax extension for tax year 2009? Can I do it today?
First let me applaud all of you who are thinking so far ahead! Good for you. April 15 will be here before you know it.
Here’s the short answer: the earliest you can efile a tax extension is January 15.
So you’ve heard something about IRS Form 4868 (more commonly known as a tax extension), but you don’t know anything about it. The good news is that, compared to other tax forms, this one is pretty straight forward. The bad news is that it is still a tax form, so there are still ways to get confused. Hopefully this post will answer all of your questions.
Read more…
It’s only November, but already reasons to file a tax extension next year are rearing their head.
On November 6, a new law that went into effect that extends the first-time homebuyer credit five months and expands the eligibility requirements for purchasers.
According to the IRS, The Worker, Homeownership, and Business Assistance Act of 2009 extends the deadline for qualifying home purchases from Nov. 30, 2009, to April 30, 2010. Additionally, if a buyer enters into a binding contract by April 30, 2010, the buyer has until June 30, 2010, to settle on the purchase.
In a recent press release the IRS stressed a couple of points they want taxpayers to heed:
“The IRS encourages taxpayers to choose direct deposit when they file their returns because it puts an end to lost, stolen or undeliverable checks. Taxpayers can receive refunds directly into personal checking or savings accounts. Direct deposit is available for filers of both paper and electronic returns.
The IRS also encourages taxpayers to file their tax returns electronically because e-file eliminates the risk of lost paper returns. E-file also reduces errors on tax returns and speeds up refunds.”
In the same statement, the IRS went on to add, “E-file coupled with direct deposit is your best option; it’s easy, fast and safe.”
I’m in complete agreement. e-Filing is a no-brainer for so many reasons. And as I mentioned in my last post, more and more people are e-Filing these days.
Remember, e-Filing isn’t just for your 1040. You can e-File a tax extension as well.
