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5/26/2017

Relaxing After Tax Season


In the spirit of Memorial day, the unofficial start to summer, we hope you have the day off to relax. While there are still a few tax deadlines due over the summer, you have faced the storm this tax season. You filed your return or extension by the deadline! We’re sorry if the process was stressful, but now you’ve earned some time to relax! If you find yourself so stressed out, that you don’t even know how to relax, we have some helpful tips for you.

How To Relax After Tax Season

Treat Yourself A Little

Is there a snack you’ve been avoiding? Well, it’s time to indulge with a little chocolate, cinnamon roll, or slice of pizza you’ve been denying. You deserve it. Just don't go overboard, this is a tax season reward, not an excuse to wreck your diet.

Maybe you like a nice glass of wine or bourbon? Well poor a glass and drink responsibly. Alcohol can have a calming effect that will take your mind off your tax time struggles for a while so you can relax and think about other things. Just remember not to drink too much, we’re sure you’re aware of the negative effects!

Do you deserve a new pair of shoes or a new piece of tech? Well isn’t right now a good time to make a fun purchase? Maybe you even have your tax returns, so splurging a little is even in your budget right now.

Slow Down

Tax season can make people get stuck in go go go mode! It’s time to take a moment to pause. Try going to a yoga class to connect with your inner Qi. As your body twists into various poses and your muscles stretch your tension and stress will be released.

If you don’t have time for yoga focus on your breath. Sit down and try to balance your breathing by inhaling for four seconds, holding for four seconds, and exhaling for four seconds. You’ll be surprised by how much better you feel after a few deep cleansing breaths.

Take a soak, either in the bath, pool, lake, or hot tub. You may be near the water for Memorial day so take a little bit of you time to relax and float. Let the water carry your troubles away. Just remember to use sunscreen if you’re outdoors.

Get Out

If you’ve been stuck in the office too long it’s time to get outside with some nature. Take a walk around your block to get your blood pumping and to bask in the sunshine. Looking at the trees and springtime blooms will help you clear your mind.

You could take nature to the next level by literally going out to get in it. That can be achieved by going for a hike. By going to the top of a peak and taking in the beautiful view you might have the same feeling of success that you did when you filed your return or extension on time.

Happy Memorial Day

Even though there are a few tax deadlines still to come, you made it through the main season! Congratulations, you’ve earned a break. Be sure to take some you time this Memorial day to relax and destress.

For more blogs visit ExpressExtension.com and please share how you like to relax after completing your taxes in the comment section below.
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5/25/2017

I Missed My Tax Deadline, Now What?

Oh no! You missed your tax deadline. We know you didn’t mean to. Spring can be a busy time with a new project around the house and fun activities outdoors. Plus, businesses usually pick up when the weather gets better. You’ve busy, and filing simply just slipped your mind. So, what do you do now?

What To Do When You Miss A Deadline


The first step is to file immediately, as soon as possible. Gather the information necessary to complete your form, sit down, and file your return. The IRS will impose penalties and fees when you don’t file and pay your taxes, but they’re leaner on those who file closer to the missed deadline, than for those who go for weeks without filing.

Generally, IRS penalties accrue interest based off of the amount you owe on a monthly and partial month basis, so the longer you go without filing the more money you’ll owe. So, if you can't file til next week, relax, your penalty won’t grow that much. However, some penalties, like the one for failing to file your 990 accrue on a daily basis.

You may have the instinct to file an extension online, seeing how they’re automatic and quick and easy to file. Extensions are great if you know ahead of time that you’ll need more time to file. However, unfortunately, once a deadline day has passed you can no longer apply for an extension. Even if you do, your form will be rejected.

Also, sometimes people think extensions are a way to get out of paying your tax bill. This isn’t the case. Extensions online give you more time to file your taxes, not to pay them. You’ll have to pay your tentative tax or an estimation on the amount you owe by the original tax deadline with your extension.

If you haven’t filed your taxes yet because you can't pay for them, that’s not a good excuse. With IRS fees and penalties, you’ll end up owing more than the original amount. It’s best to go ahead and pay your taxes as soon as possible.

There are a few payment options you can look into. For example, you can contact the IRS for an installment plan. An installment plan is basically a payment plan that you work out with the IRS. They will be more than happy to discuss an individual plan based off of what amount you can pay towards your tax bill on a monthly basis.
 
Keep in mind that installment plans also collect interest, and the interest rates are often higher than the interest rates on credit cards. So, it may actually be cheaper in the long run to charge your tax bill or to take out a loan to cover it.

You don’t have to figure this out on your own. If you need a little help figuring out your best option contact a CPA or tax professional to help you out. They’re up to date with the current tax laws, penalties, and procedures.

When you actually sit down to file your taxes, take your time. A difference of 5 to 15 minutes won’t matter after the deadline. It’s factors like days and weeks that the IRS keep an eye on. If you speed through your return you might make mistakes, and as a result, your form could get rejected. Be patient and make sure that all of your information and figures are correct before transmitting your return to the IRS.

Keep Calm and File


You missed a deadline,  but it’s not the end of the world. Don’t panic, just take a deep breath to get your information together and file as soon as you can. Relax if you need a few more days of planning, it won’t make a major difference. Filing late and correctly is better than not filing at all. For more blogs visit ExpressExtension.com and please share your advice on filing late in the comment section below.
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5/22/2017

Spring Cleaning Tax Tips

Ah, don’t you just love the freshness of spring? Warm sunlight fills the air and flowers start to bloom. It almost covers up the stress that comes with tax season! While you focus on spring cleaning around your house, don’t let taxes slip to the back of your mind. It’s a great time to clean those up as well.

Clean Up And Prepare Your Taxes For Spring 


The first thing you want to do when it comes to your taxes is create a plan. Set a time and place to actually sit down and do your taxes. Set aside a day to gather all the information you need to file and do your best to stick to that plan.

If you see that you need to more time to file because you’ll be experiencing your peak season for your business around the time of the deadline or you will be out of town then go ahead and e-file an extension.

With an e-file provider like ExpressExtension, the process is quick and painless, so you can have your extension approved in only a few minutes. However, be sure to read up on your extension options to learn the policies. For example, extensions only extend the amount of time you have to file your taxes, not to pay them. Any taxes owed must be paid by the original tax deadline.

Some tax extensions push the deadline back by six months! That’s a long time, and a lot can happen in half a year. Don’t forget about your extended tax deadline. File your taxes as soon as you’re ready.

If you have already filed your taxes or filed an extension keep your information in a place that's easy to find, because you don’t want to have to start all over again next time. Create a folder on your computer or tablet and save your account information if you use a tax service, like ExpressExtension. This way you won’t have to go through the whole process of resetting your password if you forget it.

Your tax folder should include everything related to your taxes. Place your W-2, tax forms, returns and more in there so you can easily reference them if need be. Plus, in the rare event of an audit, the IRS will appreciate it if you can quickly provide them with the information they need. It’s also a good idea to print important tax documents and store them away as a form of backup.

Another great tax spring cleaning tip is to take the time to make sure that your information is accurate. You need to make sure that your information like your name, address, business information, SSN, and more match what the IRS has on file. You can do so by calling the IRS directly at 1-800-829-4933.

Also, make note of anything that may have changed in the past year that may affect your forms. Did you change jobs? Does one of your children no longer qualify as a dependent? Did you get married?

Handle Those Taxes


Don’t put your taxes off to the last minute or rush through them. Take your time and be organized. Along with cleaning out the closet and reorganizing your kitchen, taking some time to prepare for your taxes is one chore you’ll be happy to cross off your list. For more blogs visit ExpressExtension.com, and please share your spring cleaning tax tips in the comment section below.
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5/18/2017

How To Avoid An Audit


When you’ve filed your extensions or completed your returns by their deadlines you may rejoice with well deserved time to kick back and relax, knowing the IRS will be off your back. However, you could suddenly be selected for a tax audit! Oh no! That would turn your relaxation time into a nightmare. Learn how to avoid being audited with our following tips below so you can get the relaxation time you deserve after tax season.

How to Avoid Being Audited


The key to avoiding an audit is to be honest on your forms. Answer all of the questions truthfully. This means report all of your income, even the amount you’ve made from side businesses like helping out with catering on the weekends or being a Lyft driver for some extra money here and there.

Don’t round up or down. Be honest about your numbers by entering the exact amount. This includes the amount you donated to charity. Rounding up or saying you donated more than you actually did can raise some red flags pretty quickly.

Be honest about your deductions, don’t try to take advantage of the IRS. For example, you can only deduct for your home office if you actually have a portion of your home that’s dedicated to work only. If you work in the living room or at the kitchen table, then those portions of your home aren’t solely dedicated to your work.

Another example includes claiming children as dependents. Make sure your children qualify. If your child isn’t attending college you can claim them up until age 19. If they do attend college you can claim them until they’re 24. Don’t try to sneak by claiming your kids as dependents if they don’t qualify.

Be detailed. It’s always best to include notes as to why something on your form is different than last year. If your charitable contribution is larger than normal, then explain that your business earned more than ever this year, so you had more to donate.

Know when the deadline for your form is. You don’t want to file late or pay the amount of taxes you owe late or the IRS may decide to take a closer look at you. Also, be sure to file the correct form. For example, Form 990 has the 990-EZ, 990-N, and 990-PF! Filing the wrong one could put you in a pickle.

If you need more time to file you can quickly and e-file for an extension for a few different types of returns online. 

Just be sure to keep in mind that extensions only extend the amount of time you have to file your return, not to pay any taxes owed. Any amount owed must be paid in full to the IRS by the original deadline for your return.

Slow down and make sure that you enter all of your information correctly. Spell your name right, enter your social security number correctly. Before submitting your return make sure to double check all of your information.

Oftentimes e-filing is the best method because fewer mistakes are made on electronic forms. Most e-file providers, like ExpressExtension, offer a step-by-step guide to help you correctly complete your form in a matter of minutes and have an audit check put into place to catch basic errors.

It’s also important that your information such as your name address, social security information, EIN, business information, and more matches what the IRS has on file. You can verify your information by calling the IRS directly at 1-877-829-5500.

Relax, Without Being Audited!


The key to avoiding an audit from the IRS is to correctly file your return by the deadline or your extended deadline. Also, be honest and make sure that all of your calculations are correct. Last but not least, make sure all of your information is entered correctly.

For more tax tips visit ExpressExtension.com and be sure to share your tips about how to avoid being audited in the comment section below.
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5/15/2017

The IRS Form 8868 Deadline Has Arrived


Tick tock, tick tock! Your time is running out. Your Form 990 is due today by midnight. Are you ready to file for your tax exempt organization? We hope so because the fees for filing late are pretty high. However, if you aren’t ready to file, don’t panic. Just take a moment to breathe then go to ExpressExtension to e-file IRS Extension Form 8868.

Exempt Organization Tax Extension Form 8868


IRS Extension Form 8868 is the form that you can use to save the day because it’s the extension form used by charities, nonprofits, and other tax-exempt groups in order to get an automatic 6-month extension to file their Return of Organization Exempt From Income Tax Form 990.

Imagine instantly pushing the deadline back from today until 6-months from now. Well by spending a few minutes filling out Form 8868 you can make that dream a reality. The process is incredibly simple. Because this extension is automatic you don’t need to provide the IRS with a valid reason for needing an extension. All you have to do is complete Form 8868 by the May 15th deadline.

The only thing you have to keep in mind is that Form 8868 can’t be used to extend the due date of Form 990-N (e-postcard). Also, Form 8870 can’t be e-filed with part I or part II, but we can generate the form in your account for you to easily print, complete, and send via mail. 

Along with getting a 6-month extension to file your Form 990, another great reason to file for an extension is to avoid getting hit with the fees imposed by the IRS for not filing your 990 in time.

If your organization has less than $1,000,000 in gross receipts for the year then you’ll be fined $20 per day that your return is late with a maximum penalty of $10,000 or 5% of your gross receipts, based on which amount is smaller. If your organization has over $1,000,000 in gross receipts then you’ll be fined $100 per day with a maximum penalty of $50,000!

How To E-File


Now we’re assuming that you would much rather have the extension than the penalties, so how exactly do you e-file Form 8868? It’s easy! Start by creating your free ExpressExtension account.

Then in the dashboard of your account click ‘Create Exempt Org Extension’ and follow our informational step-by-step guide that will help you correctly complete your form in only a few minutes.

First, you’ll be asked to enter in the basic information for your business, including the name, address, and EIN/Tax-ID. It’s important that this information matches what the IRS has on file, and you can verify it by calling the IRS directly at 1-877-829-5500. Then you’ll enter your tax year and which 990 form you usually file.

Then a summary of your information will be presented for you to check for errors and we will perform an audit check on your information to catch any basic errors.

Once you’ve edited your form to make any necessary corrections pay for your form and safely and securely transmit it directly to the IRS. Then in a matter of minutes once your extension has been approved you’ll be notified via email. Your dashboard will also contain live status updates about your form.

In the rare event that your form is rejected, you’ll be emailed with details as to why. Then you can easily log on to your account to correct your form and retransmit it to the IRS as many times as necessary for free.

We Will Lend Helping Hands


If you have any questions about the extension process please don’t hesitate to contact our outstanding support team. We will be happy to answer any questions that you may have and will even guide you through the e-filing process. We’re available Monday - Friday from 8:30 AM to 5:30 PM EST. We’re also available via live chat and offer 24/7 email support at support@expressextension.com.
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5/11/2017

The 8868 Deadline Is Almost Here


Uh oh! It’s that time again. Time to file your Return of Organization exempt From Income Tax Form 990, because the deadline is only a few days away on May 15th! If this deadline snuck up on you and caught you by surprise, don’t worry. Keep calm and carry on to ExpressExtension to e-file IRS Extension Form 8868.

Avoid IRS Penalties With An Extension


Form 990, as all IRS Forms, are taken pretty seriously by the IRS. However, Form 990 is used to make sure that your exempt organization isn't abusing it’s tax-exempt status and makes your organization’s financial records available to the public, so it’s taken very seriously!

If you aren’t sure if your organization is tax-exempt remember that most tax-exempt organizations are classified as ones that serve the public like charities, religious groups, educational groups, and other nonprofit organizations. Also, remember that you have to apply to IRS for your tax-exempt status under code 501(3)(c).

If you fail to file by the deadline prepare to face some major penalties. If your organization has less than $1,000,000 in gross receipts for the tax year you’ll be fined $20 per day that your return is late. The maximum penalty you’ll face is $10,000 or 5% of your gross receipts, depending on which amount is smaller. If your organization has over $1,000,000 in gross receipts then you’ll be fined $100 per today with a maximum penalty of $50,000.

Those aren’t minor fees! You don’t want to miss the 990 deadline which is due on the 15th day of the 5th month of your organization’s tax year, which is May 15th for most organizations. Since that deadline is a few days away you may not be ready to file, and that’s fine. Simply use IRS Extension Form 8868 to get more time to file.

Exempt Organization Form 8868 is the Form used by nonprofits charities, and other tax-exempt groups to apply for an automatic 6-month extension. Imagine what you could do with 6 extra months to gather your information.
  
Because this form is automatic all you have to do is complete it by the May 15th deadline in order to get your extension. You don’t have to provide the IRS with a valid reason for needing an extension or include an e-signature.

But keep in mind that Form 8868 can’t be used to extend the due date of Form 990-N (e-postcard) and IRS Form 8870 can’t be e-filed with either part I or part II, but we can generate a form for you to print, complete, and mail.

The entire process is actually incredibly quick and easy. To get started create your free ExpressExtension account and click ‘Create Exempt Org Tax Extension’ and follow the step-by-step guide to quickly complete your form.

You’ll enter the basic information about your business such as the name, address, and EIN/Tax-ID. Then you’ll enter in your tax year and which 990 you typically file.

Then we will present you with a summary of your information so you can make sure everything was entered incorrectly and we will perform an audit check on your form to make sure all of the necessary fields were filled out or checked.

Once this process is complete and your information is free of any errors you can pay for your form and transmit it directly to the IRS. Then within minutes, you’ll be notified when your extension has been approved via email. You can also check for live status updates about your form in your dashboard.

We’re Here To Help


Got any questions? Then please don’t hesitate to contact the amazing ExpressExtension support team. We’re extension experts so you don’t have to be. Give us a call Monday - Friday from 8:30 AM to 5:30 PM at 803.514.5155. We’re also available via live chat and offer 24/7 email support at support@expressextension.com.
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5/08/2017

How To File Extension Form 8868


Tax season is still lingering in the air with a few more upcoming deadlines. For example, the Return of Organization Exempt From Income Tax Form 990 is due on May 15th. Wow, that deadline is actually closer than you think! We hope you’re ready to file for your tax-exempt organization, but if you need more time, don’t worry. Simply head to ExpressExtension to e-file Form 8868.

Form 990


The purpose of Form 990 is so that the IRS can make sure that tax-exempt organizations aren’t abusing their tax-exempt status. It also serves as the only means to make the organization’s financial records available to the public.

The fees for failing to file your 990 by the deadline are pretty substantial. For example, if your organization has less than $1,000,000 in gross receipts for the tax year the IRS will impose a penalty your organization $20 a day per every day that your return is late. Depending on which is less, the maximum penalty will be $10k or 5% of your organization's gross receipts.

If your organization has over $1,000,000 in gross receipts then the fee is upped to $100 per day with a maximum fee of $50K!

Form 990 is due on the 15th day of the 5th month of your organization’s tax year, so for most organizations, the deadline is May 15th, which is only days away.

If you need more time to file instead of getting hit with fees and penalties, give yourself more time to file qith IRS Extension Form 8868.

Exempt Organization Tax Extension Form 8868


IRS Form 8868 is the form used by charities, nonprofits, and other tax-exempt organizations to apply for an automatic 6-month extension to file their return. Because the form is automatic you don’t even need to provide the IRS with a valid reason for needing an extension. All you have to do is complete Form 8868 by the May 15th deadline!
 
The only thing you have to keep in mind is that Form 8868 can’t be used to extend the deadline for Form 990-N (e-postcard) and Form 8870 can’t be e-filed with Part I or Part II, but we can generate the form in your account for your to print, complete, and mail.

The e-filing process for Form 8868 is incredibly quick and easy. All you have to do is create a free ExpressExtension account and click “Create Exempt Org Tax Extension” to get started. Then our step-by-step guide will help you correctly complete your form in a matter of minutes.

You will enter your basic information about your organization such as its name, address, EIN/Tax-ID. Then you’ll enter which 990 you typically file and your tax year.

Next, we will present you with a summary of your information for you to check and make sure all of your information was entered correctly. We will also perform an audit check to make no boxes were left empty or unchecked.

Once any corrections have been made you can pay for your form and transmit it directly to the IRS. Then within minutes, once your extension has been approved we will notify you via email. You can also check your dashboard for live status updates about your form.

The process is so convenient that you don’t even need a computer to file. Download the Free ExpressExtension app to your smartphone or tablet to quickly e-file Form 8868 at any time, from any location!

We’re Here To Help


If you have any questions about the e-filing process please don’t hesitate to contact the awesome ExpressExtension support team. We’re available Monday - Friday from 8:30 AM to 5:30 PM at 803.514.5155. We also offer live chat and 24/7 email support at support@expressextension.com
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5/04/2017

Is Your Organization Tax-Exempt?


An important part of tax season is actually knowing which forms to file for. You did great by handling your personal tax return last month, but now the Exempt Organization Return Deadline is quickly approaching on May 15th! Do you need to file a Form 990? Are you even ready to file? Maybe you need an extension? Luckily ExpressExtension is here to help clear things up!

Is Your Organization Tax-Exempt?


While filing your taxes there are a number of tax exemptions you can take to reduce your tax bill, like a deduction. For example, you can claim your kids as dependents as long as they qualify, and you can deduct home office. However, the federal government will completely exempt organizations from income tax if they serve the public.
  
Examples of tax-exempt organizations include charities, educational groups, religious organizations, and other nonprofit groups. Now just because you establish a group, doesn’t mean that it’s tax-exempt. You have to actually apply for your tax-exempt status with the IRS.

Most organizations will use Form 1023 for tax code 501(c)(3) which includes entities that are literary, religious, charitable, scientific, educational, testing for public safety, for the prevention of cruelty to children or animals and fostering national or international amateur sports competitions.

Once you’re officially tax-exempt keep in mind that you have to file a Form 990 for your organization by the 15th day and 15th month of your organization’s tax year. This date falls on May 15th for most tax-exempt organizations.

Form 990 or the Return of Organization Exempt From Income Tax is used by the IRS to make sure your organization isn’t abusing it’s tax exempt status. It’s also used to make your organization’s financial record available to the public. Therefore, it’s pretty important to file your Form 990 by the deadline.

However, if you aren’t ready to file, don’t freak out! ExpressExtension has the solution to give you more time with IRS Form 8868.

Exempt Organization Tax Extension Form 8868


IRS Extension Form 8868 is the application for nonprofits, charities, and other tax-exempt groups to get an automatic 6-month extension on their Form 990. Because this form is automatic you don’t have to provide the IRS with a valid reason for needing an extension, all you have to do is complete the form by the May 15th deadline.
  
It might sound too good to be true, but it’s not. It really is that easy to get more time to file. All you need to do is gather the information required to complete Form 8868, which includes your organization’s name, address, EIN/Tax-ID, tax year period, and which 990 you usually file. 

Then create your free ExpressExtension account and follow the step-by-step guide to complete IRS Form 8868 to instantly receive 6 extra months to file.

You don’t even need a computer to file, download the free ExpressExtension app to your iOS or Android device to conveniently file from any location at any time and once your extension has been approved, usually within a few minutes, we will notify you via email.

We’re Here To Help


The dedicated support team here at ExpressExtension is standing by to help. We will be more than happy to answer any questions that you have or even walk you through the e-filing process. Give us a call Monday - Friday from 8:30 AM to 5:30 PM EST at 803.514.5155. We’re also available via live chat and offer 24/7 email support at support@expressextension.com.
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5/01/2017

Get An Extension For Form 990


Taxes, taxes, taxes! They just keep coming! There was your business income tax return, then your personal income tax return, but soon the information returns deadline for nonprofits will be here on May 15th! Yikes, just when you though tax season was over, it’s time to file for your nonprofit organization. But, don’t worry if you need more time to file your Form 990, simply head to ExpressExtension to get an automatic 6-month extension.

How To Get An Extension On Your 990


Form 990 is the Return of Organization Exempt from Income tax and it must be filed on an annual basis by the 15th day of the 5th month of your tax-exempt organization’s tax year. So, generally, this date falls on May 15th. You’re required to file this form to make your financial information available to the public and so the IRS can make sure you aren’t abusing your tax-exempt status.

Now to obtain a tax-exempt status you actually have to apply to the IRS for it. Tax-exempt organizations usually are classified as those that serve the public, like nonprofit organizations, charities, religious organizations, groups against animal abuse, and more.

Sometimes these organizations need a little more time to file their taxes for various reasons. For example, it could be their busy season around the deadline time, they could be out on a mission trip, or they simply need a little extra time to gather the information necessary to complete their 990.


If you need more time, for whatever reason, check out ExpressExtension to e-file Exempt Organization Form 8868. IRS Form 8868 is the form used by nonprofits, charities, and other tax-exempt organizations to quickly apply for an automatic 6-month extension.

Because this form is automatic you don’t have to provide the IRS with a valid reason for needing an extension. All you have to do is complete the form by the May 15th deadline, and your extension will be approved in a matter of minutes.

Form 8868 used to only provide a 3-month automatic extension then your could apply for another non-automatic 3-month extension until the IRS combined the two to create one automatic 6-month extension.

The only things to remember with IRS Form 8868 are that you can’t use the form for an extension on the 990-N (e-postcard) and IRS Form 8870 can’t be e-filed with part I or part II, but we can generate a Form 8870 for you to print from your account to complete and mail.

To e-file Form 8868 gather the material required to e-file, which include your organization’s name, address, EIN/Tax-ID, tax year period, and which 990 you typically file. Then create your free account with ExpressExtension to get started.

Click ‘Create Exempt Org Tax Extension’ in the dashboard and follow the step-by-step guide to complete your form. The process will show you what fields to enter and will present you a summary of your information so you can proofread it.

Then ExpressExtension will perform an audit check on your form to make sure no boxes were left empty. After that you can pay for your form and transmit it to the IRS. The process is incredibly simple and only takes a minute or two. Then once your extension has been approved, usually within minutes, we will notify you via email!

Get More Time!


If you need more time to file, then e-file Form 8868 to instantly receive an automatic 6-month extension! If you have any questions contact our dedicated support team at 803.514.5155. We’re also available via live chat and offer 24/7 email support at support@expressextension.com.
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