If you are sensing that you may need additional time to file your personal tax return, Form 1040, it is the perfect time to file your extension. While it may be tempting to wait until the last minute, filing your extension now will leave you plenty of time to ensure that you file an accurate form.
Form 4868 is an automatic extension, this means that the IRS doesn’t require any reason or justification to accept your extension request. However, the form must be filed with accurate information that matches the IRS records and by the deadline of the original deadline.
Form 4868 has nine lines. On line 1, enter your legal name and address. This must match what the IRS has on record. If your address has changed, you should fileForm 8822 Change of Address, changing your address on the extension form is not enough.
On line 2, you should enter your social security number. If you are filing a joint return, please note that the social security number you entered will appear as the first on your return.
On line 3 enter your spouse’s social security number if you are filing a joint return.
On line 4, you will need to enter your total tax liability for the tax year 2021. If you don’t expect to owe a tax payment, you can enter zero here. You should estimate the total payments you have made to the IRS on line 5 of IRS Form 4868.
Subtract line 5 from line 4 and enter the total on line 6. This is your balance due to the IRS.
On line 7, you should enter the amount you plan to pay to the IRS when filing your extension. The IRS advises that you pay as much as you can, preferably the full amount due.
Line 8 only applies to filers that are out of the country at the time of their deadline. U.S citizens are allowed two additional months to file their form if they are out of the country. For more information on taxpayers that are out of the country, check out the IRS instructions for Form 4868. If this applies to you, check the box.
Line 9 applies to individuals who file Form 1040-NR. Individuals filing 1040-NR that didn’t receive wages as an employee are subject to income taxes.
Form 4868 Doesn’t Apply to Tax Payments
Let’s discuss your method of filing this 1040 extension form. When it comes to filing this form, you have two options. You can either mail a paper copy to the IRS or file electronically with an IRS authorized e-file provider.
The IRS-preferred method of filing is electronically filing. When e-filing your form, the IRS is able to process the form at a faster rate. This allows you to know that your form was rejected in time for you to correct it.
E-filing is the Best Option to File your Extension
One of the most common misconceptions about filing a personal income tax extension is that the extension applies to your IRS tax payment.
This is not true! While there are many benefits to filing Form 4868, extending your balance due to the IRS is not included. However, ExpressExtension offers an easy solution for e-filing your tax extension and making your tax payment to the IRS.