Typically, the month of August signifies the end of Summer – not much the end of the season, but rather the fun and excitement associated with summer break.
The school year starts back up, the midday crowds become less, and even if summer holidays didn’t change much of your adult life, there’s still an ambient feeling you can’t avoid as Summer makes its inevitable exit.
August also signals the start those extended IRS deadlines that’s been following you ever since Spring. The extended time is coming closer to the end – if you e-filed any of the following tax extensions, you must prepare to file soon or risk paying up to thousands in IRS penalty fees.
Exempt Organization Tax Extension (Filing Due Date: August 15)
The first of these extended deadlines ends TODAY! But that’s three months in total you had to get ready. Nonprofits and charities that are required to file IRS Form 990, or IRS Form 990-EZ must do so on time or pay the following penalty:
- A daily charge of $20, or $100 if gross receipts are over $1 million, each day your filing is late – up to a maximum penalty of $50,000 or 5% of your gross receipts.
There is still hope if you’re not ready to file yet. You can apply for an additional, non-automatic 3-month extension which will push your filing time all the way to November. Head over to our sister site, ExpressTaxExempt.com, to start e-filing your tax return or tax extension.
Business Tax Extension (Filing Due Date: September 15)
The next extended deadline to end soon is for businesses who e-filed IRS Form 7004 earlier this year. Multi-Member LLCs, C-Corporations, S-Corporations and the like have a less than a month left to prepare and file with the IRS. If not, you can look forward to paying
- 5% of your unpaid taxes each month or part of the month you’re late with a return – up to 25% of your unpaid taxes.
If your return is more than 60 days late, expect your penalty fee to increase to 100% of your unpaid tax or a minimum charge of $135, whichever amount is smaller in your situation. Unlike exempt organizations, there’s no extra extension after this deadline – you either file on time or pay up.
Personal Tax Extension (Filing Due Date: October 17)
The last extended deadline is still two months away, but that doesn’t mean you should rest easy up until the last minute. Personal tax filers and Single-Member LLCs that e-filed IRS Form 4868 back in April need to file their return on time are face the same late penalty fees as businesses.
If you happen to owe the IRS any money, you should have paid it by the original IRS deadline as a tax extension only extends your time to file. If you didn’t, you’re probably dealing with this penalty:
- 0.5% to 1% of your unpaid taxes each month or part of the month you haven’t paid – up to 25% of your unpaid taxes.
There’s no additional extension for this filing either, so you’ll want file as soon as you can to avoid any penalties. For those of you that have adjusted gross incomes under $62,000, you can use the IRS Free File service to file electronically.
Tax extensions are extremely helpful, but you need to remember that at some point you will need to file your required tax return. It best to use your extra time wisely or else you’ll find yourself in a situation with IRS penalties.
With ExpressExtension.com, you can experience the convenience of e-filing wherever you are with our FREE downloadable mobile apps for Form 7004, 4868, and 8868 – e-file on the go with your favorite iOS or Android devices. Our U.S. – based customer support team is ready to assist whenever you need – call us at 803.514.5515, Monday through Friday from 9 a.m. to 6 p.m. EST or email a message to [email protected].