Being a responsible US citizen means filing your tax return before the deadline date of April 15. However, sometimes unexpected situations arise that might cause a delay in filing for the income tax return. In such a case, it is important to know the possible options that one can use to avoid the actions that the IRS will most likely to take after the deadline period gets over.
In general, IRS imposes certain penalties on the taxpayers who haven’t filed their income tax return. Moreover, it is also possible for an individual to get imprisonment as the punishment for failing to file tax returns for a certain amount. This makes it pretty clear that filing for income tax return should be a serious concern for all the taxpayers.
Tax Extension Form
If you feel that you will not be able to file your tax return before the April deadline then don’t worry because you can extend the deadline with the help of a tax extension. To be specific, you will need to fill and submit the form 4868 to IRS for getting your deadline period extended by 6 months. Within the extension period, you can easily arrange all the required tax documents that you need to file your income tax return.Moreover, for better estimation of your taxes, you can use a tax calculator based on where you live. For instance, living in New York City means that the tax calculator NYC is ideal for you to get an approximate value of your total tax amount.
Benefits of Filing a Tax Extension
Applying to IRS for a tax extension not only allows you to have extra time for filing your tax returns but also let you enjoy certain advantages including:
- Spare Time for Making Decisions
Filing for tax return involves consideration of many important factors. By getting the extension of the deadline, it is possible for you to invest more time to think and make better decisions. Additionally, you canutilize the additional time tocheck your eligibility for the different deductions and credits that can eventually help to lower your overall taxes.
- Reduction of Fees
Most people hire professional accountants for getting help with their tax preparation. It is quite common for accountants to increase their fees as the April deadline for income tax return approaches. By filing for the tax extension, you can hire professionals after the deadline when their fees become lower.Thus, a tax extension can save you not only from the hurry but also from the huge tax preparation fees charged by the professionals.
- Avoiding mistakes
Impatience and rush among taxpayers become more evident as the days approaches near April 15. As a result, the chances for both the taxpayers and the accountants to make mistakes increase manifold. On the other hand, by taking the tax extension, there is plenty of time to re-examine all the documents and other things to ensure that there no error occurs in the income tax filing.
Applying for the extension of the last date for filing the income tax return is the only solution for individuals who cannot complete the process on time. There are many benefits of extending the deadline of tax returns but it is advisable to not use the extension until necessary. For ensuring timely tax return filing, one can make use of tax calculators like tax calculator NYC or start preparing the documents as early as possible.