What Are Tax Extensions?
The IRS allows individuals, businesses and estates to file a tax return after the deadline by obtaining an extension.
When a significant natural disaster hits – such as a hurricane, earthquake, tornado, flood, wildfire, blizzard, or the like – the IRS will extend upcoming federal tax deadlines for affected taxpayers if a federal disaster is declared. The extended due dates apply to most federal tax returns and payments, including those for income taxes (including estimated tax payments), payroll taxes, and excise taxes. If you’re impacted by a natural disaster, check our IRS Disaster Relief page to see if you qualify for an automatic tax filing or payment extension.
Key Takeaways
- Tax extensions allow individuals, businesses, and estates to file a tax return after the deadline without incurring a late-filing penalty as long as it is filed by the extension deadline.
- Extensions for personal tax returns can be obtained by filing Form 4868 by the April 15 deadline, but failing to pay the tax bill by the original deadline can result in penalties and interest.
- Expatriates can typically qualify for a two-month extension if their main place of business is outside the US.
- Executors of estates can file Form 4768 to receive an extension of time to file the estate tax return and can apply for an additional extension totaling up to 12 months if the executor is out of the country.
Tax extensions
The IRS typically allows individuals, businesses and estates to file a tax return after the deadline by obtaining an extension. Successfully filing for an extension means no late-filing penalty will be assessed unless the return is not filed by the extension deadline.
However, this does not extend the deadline to pay taxes. If you fail to pay your tax bill by the original deadline, you may be subject to penalties and interest.
Filing an extension on a personal tax return
If you need more time to file your personal income tax return, you can complete Form 4868 for additional time to file. This basic form simply identifies you and allows you to make an estimated tax payment. You can generally recover interest on any amount you overpay, but you will be liable for interest and possibly penalties on any amount you underpay.
To obtain the extension, you must file Form 4868 by the tax return deadline, April 15, 2025.
TurboTax Easy Extension allows you to file your extension online and can help you estimate how much you owe in taxes.
TurboTax Tip:
Partnerships and corporations can obtain automatic six-month extensions for filing income tax returns, while sole proprietors can use Form 4868 to request an extension of time to file their business taxes with their personal tax returns.
Extensions for U.S. expatriates
U.S. taxpayers can obtain a two-month extension when they are outside the U.S. on the tax filing deadline. To qualify, your main place of business must normally be outside the U.S., or you must be on active duty in the military.
For this extension, simply file your return no more than two months after the original due date and attach a statement explaining why you qualify for the two-month extension. Unlike the six-month extension available to taxpayers living within the U.S., this two-month extension allows you avoid late-payment penalties during the two months. However, you will still incur interest charges on the amount of tax you fail to pay by the filing deadline.
Estate tax return extension
The estate tax return is ordinarily due within nine months of the decedent's death. The executor of the estate can file Form 4768 to receive an extension of time to file the estate tax return on Form 706.
An executor who is out of the country can file for an additional extension for a total of 12 months. However, this second extension is not automatic, and the application must be filed with the IRS prior to the termination of the first extension so that it has sufficient time to evaluate the application.
Business tax return extensions
Typically, a partnership can obtain an automatic six-month extension of time for filing its income tax return on Form 1065, and a corporation that files an income tax return on Form 1120 can obtain an extension provided a Form 7004 is filed with the IRS by the original filing deadline. However, if you are a sole proprietor who prepares a Schedule C to report taxable business earnings, you can obtain an extension of time using Form 4868.
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