We are well within the final quarter of the year, and if you managed to e-file any tax extensions earlier this year, there are a couple of extended tax deadlines that are still floating around.
Personal Tax Extended Deadline: October 15
If you filed a Personal Tax Extension Form 4868 back in April, then your upcoming, extended deadline is October 15. By filing sooner than later, you can increase your chances of avoiding any late filing penalties. If you’re not able to file your personal tax return right now, please be mindful of the due date. You can mark it on your calendar, or set up some type of electronic notification from your smartphone. But make it so that each day you are reminded to file.
Late Filing Penalty
You should also be aware of late filing penalties for personal tax returns. If you file your return after the due date, or extended due date in this case, you’re usually charged a penalty fee of 5% of the amount due for each month or part of the month your form is late. The maximum penalty is 25% of your amount due; however, if you are 60 days late, the minimum penalty is $135, or the balance of your tax due, whichever one is the least amount.
Exempt Organization Tax Extended Deadline: November 15
If you filed Part II of the Exempt Organization Tax Extension Form 8868 back in August, then your upcoming deadline is November 15. In order to have this November deadline, you must have filed Part I of the Extension Form 8868 back in May, and then, filed Part II before the end of your extended deadline in August; that’s only if your organization operates on a Calendar Tax Year.
For organizations with a Fiscal Tax Year, your second extended deadline is six months beyond the 15th day of 5th month after your tax period ends. But only if you filed Part I and Part II when it was appropriate.
Late Filing Penalty
Penalties for filing exempt returns late depend on the gross receipt amount of your organization. If your organization brings in $1,000,000/yr. and you’re late with filing, the IRS will charge a penalty of $20 each day your form is late. The maximum penalty is $10,000 or 5% of your gross receipts, whichever is the smaller amount. The penalty charge shoots up to $100 per day with a maximum of $50,000 for organizations that exceed $1,000,000 in gross receipts.
Even though you can no longer file for extensions this year, you can be prepared for the upcoming tax season next year. For whatever reason you need to file a tax extension, you can quickly and easily e-file with ExpressExtension. We offer extension forms for business tax, personal tax, and exempt organization tax. E-file on-the-go with our iOS/Android app for personal tax extensions, or our mobile site for exempt organization extensions.
For any questions or assistance with e-filing an extension, contact our expert professionals by phone at (803) 514-5155 (Monday – Friday, 9 a.m. – 6 p.m. EST), email at [email protected], or live chat at www.expressextension.com.