What Is a Tax Extension?

• admin
• January 28, 2025
• 6 min read

What Is a Tax Extension?

Need more time to file? File an IRS tax extension and you can wait until October 15th to file your income tax return, with no penalties whatsoever.

An IRS tax extension allows you to put-off tax day for six additional months. The IRS will gladly give you this extra time to file, even if you owe taxes. As long as you apply for your tax extension on or before the original filing deadline (typically April 15th) and then file your return by October 15th, you will not be penalized.

It’s important to note that filing a tax extension is not a free pass to ignore your taxes. Rather, it’s an agreement with the IRS that you will file your taxes within the six extra months you’ve been granted. Once you file the extension, it’s recommended that you take the proper steps to file your actual return. Once October 15th rolls around, there is absolutely no delaying your taxes any further.

Also remember this: a tax extension only gives you more time to file, not more time to pay. If you owe taxes, you must still send your payment to the IRS by the original due date of your return (usually April 15th). Keep this in mind when you are filing for a tax extension using IRS Tax Form 4868 (Application for Automatic Extension of Time to File U.S. Individual Income Tax Return), because you must report any balance due in Part II of that form. Your payment should be submitted with your 4868 Tax Form ― otherwise, you will be charged interest on any amount that not paid by the original deadline.

Who Can Get a Tax Extension?

Almost everyone qualifies to file for an income tax extension. The IRS doesn’t ask you to submit any explanation as to why you want or need an extension. Almost all rejected extensions are the result of submitting incorrect information, such as a name or Social Security Number that does not match IRS records.

Any taxpayer who needs to file a Form 4868 (Application for Automatic Extension of Time to File U.S. Individual Income Tax Return) can do so. There is virtually no restriction when it comes to personal extensions for taxpayers. The IRS realizes that some people just can’t make the date and need more time to organize their financial documents.

The main caveat for successfully filing your tax extension is that the information needs to be correct. If anything is wrong on your application, then the IRS will reject your request. Also make sure that your information is up-to-date. If you submit old information (like an old address) then your tax extension request may be turned down.

It is easier to get a tax extension than many people believe. Once you know how to do it, you will be able to file for an extension any year that it is necessary.