Not Gonna Happen? File an Extension

Sometimes, you just can’t get it together. The clock’s running out, so if you have the slightest inkling that maybe it’s just not gonna happen: file an extension. This will give you until October 15th, 2012 to file your tax return.

The Federal Income Tax Extension is wonderful and glorious — but it’s not a magical escape hatch. Although the extension gives you more time to file your tax return, it does not give you extra time to pay the taxes you owe. If and when you file for an extension, you must estimate how much you owe and pay the amount due when you file Form 4868.

One more thing: If you don’t file either your return or Form 4868 by the filing deadline (April 17th), you’ll be subject to a late filing penalty of 5% of the amount you owe for each month, up to a maximum of 25%. And you probably don’t want that. So think about it.

Still unsure of how this whole extension thing plays out? This year, participating H&R Block offices are offering free tax extension filing now through the April 17 tax filing deadline, so get in touch and we’ll help you understand extensions and your payment options.

[Image: l’ethan via Flickr]

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