Tax Extension Center continues its daily series dedicated to The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable tax season option because it saves time, stress, and even money.
Here’s reason #60: extending your corporate tax deadline means just one trip to the accountant.
If your businesses is classified as a corporation, the deadline to file income taxes is March 15. Unless you are a super-motivated individual that gets your taxes done really early, that means you make two trips to the accountant – one for the business and a second for your individual taxes.
What a pain.
Besides getting everything done early (tough to do when you’re trying to run a business) you have the option to file a corporate tax extension. The extension gives your business an extra 5 months to file. In the case where you want to make only one trip to see your accountant, you may only need a few more weeks until you get all of your personal tax documents together. The real value to an extension (besides the extra time) is your business won’t accumulate any fees for late filing.
Are you considering filing a tax extension for the first time? Or maybe you file one every single year like clockwork. Either way, remember that a tax extension does not give you more time to pay what you owe the IRS. You still need to make your payment by midnight on April 15 (or March 15 for the corporate tax deadline). An IRS extension gives you more time to file the necessary tax forms you’re supposed to file. Failing to make your payment on time could make you subject to tax extension penalties and interest.
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