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 #61: your business shuts down in preparation for March Madness.
So let me get this straight. The start of men’s college basketball tournament (a.k.a. March Madness) and the corporate tax deadline are the same week? How on earth is a business owner supposed to concentrate on taxes when there are brackets to fill out?
Fortunately, filing a corporate tax extension alleviates the pressures of filling out both your office pool brackets and your 1120-S at the same time. The tax extension gives you an extra 5 months to file your taxes. But you don’t have to wait that long. If you want, you can file right after the tournament ends. The extra time just gives you options. The important thing is that your company won’t be accumulating late filing fees while you enjoy the games.
While this may seem like a silly reason, the IRS doesn’t care why you file a tax extension for your business. You can get one automatically just by filling out Form 7004 correctly.
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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