In the last year alone, more than 19 million people filed for a file tax extension, which experts predict will increase this year. It can be quite a few reasons, such as you want to avoid the tax extension deadline 2023 due to payment issues, valuation in your tax bill, etc. Most applications submit tax extension documents, which allows them to have more processing time. In this article, we share some crucial tips to help you file a tax extension application.
Essential Tips for File Tax Extension Filers
Let's go over some tips and things you should know about to help you with file tax extension if you are a first-timer.
File Electronically to Get Back Faster Refunds
E-filing has become quite simple in recent years if you have the patience to learn it the first time. You don’t need to do any physical paperwork, visit the bank, or read lengthy documents before you can make a filing. All you need is trusted tax software that can help you with the process.
Another benefit of a tax app for file tax extension is that if you enter your bank account information at the end of the filing process, you get the refund directly into your bank account.
You should be careful about which app you are choosing for tax filing or extensions. The app should have proper 2FA procedures and can provide other types of security protocols. It is easier to do research or ask someone you know who has been using a similar app.
Some apps charge you fees to use their platform. So look for the best bargain before deciding on which app or tool you will be using.
Another way to electronically file tax extension is using the IRS Free File, which you can get from their website. But make sure you do all the filling and application before the deadline. It is one of the simplest ways to get the IRS acknowledgment that you have filed for extension.
File Tax Extension Doesn’t Mean You Can Delay the Payment
You have to pay the tax amount on the bill before the payment deadline, which is Apr 15th. You can, though, extend your filing, for which the tax extension deadline 2023 is Oct 15th.
Here, you might think, then, what is the purpose of a tax filing extension? Well, first of all, if you think the bill is high, you have six more months to make a proper case. If you make a good case, you can quickly get the refund amount. So the next time you want to extend the date, pay before the payment deadline so you don’t incur any markup.
Benefiting From IRS Payment Plans
There are different installment plans provided by the IRS if you are unable to pay the complete amount. Same as if you want to submit tax extension forms, you can inform them after paying as much as you can. Intimation helps you avoid any penalties, and then you have six more months to have a plan ready.
You can visit the IRS.gov website, find different payment plans, and fill in the Online Payment Agreement tool to know exactly what you can save. Form 9465 is another similar form for Installments. So don't forget to check all options at your disposal, as the IRS will help you with back taxes if you file them correctly.
Make Sure There are No Errors in Your File Tax Extension Forms
As a first-timer, you should double-check everything you write or fill in the extension forms. A simple typo mistake can cost you your hard-earned time and money. So when you are done filling everything, check with each corresponding document that you have not made any mistakes.
Support for the Military and Veterans
If you have served in the military, you are given extra time if you have recently been in a combat zone. If that is the case, then you have at least 180 days within which you can file taxes or extensions. You also need to pay whatever you are due during this time.
It is essential to mention here that other forms of relief are also applicable.
Know All The Guidelines
There are different requirements if you are filing for federal or state tax bills, so you should be aware of all the proper guidelines. Having extensive guidelines can make it easier for tax or extension filers to make their case properly. Visit whatever agency you are filing to and download the latest guidelines from their website.
Tax Return Copy From the Previous Year
There are many things that you need to fill in your tax extension forms. So, if you have the tax return file at hand, you can easily look up the different information required.
Take a Professional’s Help
While you can learn more about how to file tax extension on your own or from the internet, it doesn't hurt to take the services of a professional. If you are running a new business and have your hands full, then you should definitely do so.
The primary reason for hiring a tax professional is to avoid making any mistakes if you are very busy. They know what they are doing and will help you make the process much smoother. Furthermore, they will ask for specific documentation and help you understand them as well. This allows them to collect the documents and do all the heavy lifting in filing any extension case.
Final Words
There isn't any more time where you have to be physically present or visit a bank to do all the paperwork. You can now do a lot more in a bit of time just through your mobile app. You can seamlessly link your bank account to receive the refund payment directly to your account.
All you need to do now is choose a trusted app, file all your expenses, and finish the documentation process for the payment. If you do need time, you can easily apply for an extension, giving you six more months.
