Key Deadlines for Filing Tax Extensions in 2024

• admin
• January 23, 2025
• 6 min read

Key Deadlines for Filing Tax Extensions in 2024

Filing taxes can be a stressful experience for many Americans, and sometimes, life’s complexities make meeting the tax deadline challenging. That’s where tax extensions come in. Tax Extensions (also known as Form 4868 for personal and Form 7004 for business) are a simple and effective way to get extra time to file your return without the risk of late-filing penalties. However, while a tax extension grants you extra time to file, it doesn’t give you additional time to pay any taxes owed. Knowing the key deadlines for filing tax extensions in 2024 is critical to avoiding costly mistakes and penalties.

What Is a Tax Extension?

A tax extension is a formal request to the IRS for more time to file your income tax return. When approved, an extension allows you up to six additional months—typically until October 15—to complete and submit your return. This can provide much-needed breathing room to organize your financial records, consult a tax professional, or handle other pressing matters.

However, it’s important to note that the extension applies only to filing, not to paying. Any taxes owed must be estimated and paid by the original filing deadline to avoid interest and penalties.

Key Deadlines for Filing Tax Extensions in 2024

The IRS provides clear deadlines for filing tax extensions to ensure that taxpayers stay on track. Missing these deadlines can result in penalties, so it’s vital to mark these dates on your calendar.

1. April 15, 2024: Individual Taxpayer Extension DeadlineFor most taxpayers, the deadline to file for an extension is the same as the original due date for filing taxes. In 2024, that date falls on Monday, April 15. By submitting Form 4868, you can request an automatic six-month extension, giving you until October 15, 2024, to file your tax return.While filing for an extension is straightforward, ensure that you’ve estimated and paid any taxes owed by this date. Filing an extension without payment can lead to late-payment penalties and interest.
2. March 15, 2024: Business Tax Extension DeadlinePartnerships, multi-member LLCs, and S corporations must file their taxes by March 15, 2024. If these entities need more time, they can file Form 7004 to request an extension. With an approved extension, the new filing deadline moves to September 16, 2024.Like individual extensions, businesses must pay any taxes owed by March 15 to avoid penalties.
3. State Tax Extension DeadlinesWhile the IRS extension deadlines are uniform across the country, each state sets its own rules for tax extensions. Some states automatically grant extensions if you file a federal extension, while others require a separate application. Check your state’s tax authority website to confirm the deadlines and procedures.

How to File for a Tax Extension

Filing for a tax extension is relatively simple and can be done online or by mail. Here’s how:

1. For Individuals (Form 4868)
   • Use IRS Form 4868, available on IRS.gov or eFile your 4868
   • Submit the form electronically through IRS Free File or by mailing a paper form.
   • Estimate your tax liability for the year and include any payment due when filing.
2. For Businesses (Form 7004)
   • Use IRS Form 7004, available on IRS.gov or eFile your 7004
   • This form applies to partnerships, S corporations, and other business entities.
   • Ensure that you have an accurate estimate of the taxes owed and submit payment with the form.

Benefits of Filing a Tax Extension

There are several advantages to filing a tax extension:

• Avoid Late-Filing Penalties: Filing for an extension ensures you won’t incur penalties for failing to submit your tax return on time.
• Additional Time for Accuracy: Extensions give you extra time to gather documents, correct errors, and seek professional tax advice.
• Reduce Stress: If life’s unexpected challenges arise, an extension can help you avoid the pressure of rushing to meet the original deadline.

What Happens if You Miss the Tax Extension Deadline?

Failing to file for a tax extension by the original deadline can lead to late-filing penalties of 5% of the unpaid taxes for each month your return is late, up to a maximum of 25%. If you also owe taxes and fail to pay by the due date, additional late-payment penalties and interest will accrue.

If you miss the extension deadline (October 15 for individuals), you must file your return as soon as possible to minimize penalties and interest.

Common Misconceptions About Tax Extensions

• An Extension Extends the Payment Deadline: This is false. Any taxes owed must be paid by the original deadline, even if you request an extension.
• Filing an Extension Increases Audit Risk: This is another myth. Filing an extension does not impact your chances of being audited.
• Extensions Are Complicated: With online tools and resources, filing an extension is straightforward and user-friendly.

Tips for Staying on Track

• Set Reminders: Use digital tools or calendars to remind you of key tax deadlines.
• Organize Your Records: Keep financial documents, receipts, and tax forms organized throughout the year to simplify filing.
• Seek Professional Advice: If you’re unsure about your tax obligations, consult a tax professional to ensure accuracy and compliance.