If the taxpayer cannot file their federal income tax return within the filing deadline, they can file an extension with the IRS by officially filing Form 4868. This tax Form offers an automatic extension of time to file the individual tax return in the US. Filing this tax extension Form will not give more time for the IRS to pay the taxes they owe. Form 4868 will only extend the deadline to submit the paperwork. The extension for federal income taxes due on April 15th will give time until October 15th to submit the paperwork.
Advantages of Filing Form 4868 extension:
Tax extensions are means of buying additional time from the IRS to file individual returns. Tax extensions do not just help people who are running late in filing their taxes, there are several other reasons why filing a tax extension can benefit people. Filing a tax extension is free, easy to seek, and one of the best ways to get six months to complete the taxes. The other benefits of filing a tax extension are as follows.
1. It avoids mistakes in the 4868 Extension Form:
As the tax season begins at the start of the New Year, everyone is rushing to file their taxes by the deadline. There are chances for making mistakes in the tax Form, as it is done quickly. Filing for an extension will relieve the stress of filing the returns quickly and making costly mistakes. Filing an extension will buy time to prepare the returns without a hurry.
2. Avoids penalties:
The IRS levies late filing penalties for not filing taxes on time. Filing an extension will avoid late filing penalties.
3. Helps avoid the hectic tax season:
Buying more time to fill the Form accurately will help avoid the hectic tax season. As taxpayers and accountants are busy during the tax season, there are chances for them to commit mistakes, avoid important deductions and end up paying extra money. Filing an extension will buy more time for the taxpayers to file the Form correctly.
4. Avoids additional tax preparation fees:
Tax experts and accounts are generally very busy during the tax season and hike their prices to a great extent, especially when the deadline approaches. Their rates will be significantly lower during the summertime and late spring seasons. Thus, filing the taxes with the accountant during that time could cost much less. Thus, filing a tax extension offers more time to make different tax return extensions and helps preserve the refunds.
Most of the extension requests will be processed and honored automatically. Taxpayers need not explain to the IRS why they require an extension. They only have to file the Form accurately and check the SSN and other data, as errors in the Form will invite rejection.
After considering the benefits of filing a tax extension, individual taxpayers should file Form 4868 with the IRS by the tax form deadline. Experts at Tax2efile will help taxpayers to file their extension Forms with the IRS within the deadline. It is important to file the tax extension Form within the deadline, as tax extensions cannot be processed after the deadline.