Filing a Tax Extension

Feeling the crunch and thinking of filing an extension for your business taxes? โฐ

Hereโ€™s what you need to know ๐Ÿ‘‡

๐Ÿ‘‰ ๐—ช๐—›๐—”๐—งโ€™๐—ฆ ๐—ง๐—›๐—˜ ๐——๐—จ๐—˜ ๐——๐—”๐—ง๐—˜ ๐—™๐—ข๐—ฅ ๐—™๐—œ๐—Ÿ๐—œ๐—ก๐—š ๐—ง๐—›๐—˜ ๐—˜๐—ซ๐—ง๐—˜๐—ก๐—ฆ๐—œ๐—ข๐—ก?

April 18th, 2022 โ€“ which will then give you until October 17th, 2022 to file your taxes

(However, keep in mind – your ๐™ฅ๐™–๐™ฎ๐™ข๐™š๐™ฃ๐™ฉ is still due April 18th, even if you extend your ๐™›๐™ž๐™ก๐™ž๐™ฃ๐™œ deadline)

๐Ÿ‘‰ ๐—ช๐—›๐—”๐—ง ๐—™๐—ข๐—ฅ๐— (๐—ฆ) ๐——๐—ข ๐—œ ๐—ก๐—˜๐—˜๐——?

IRS Form 4868 if youโ€™re self-employed or a sole proprietor.  If youโ€™re a partnership, S-Corp or C-Corp, youโ€™ll need IRS Form 7004.

๐Ÿ‘‰ ๐—›๐—ข๐—ช ๐——๐—ข ๐—œ ๐—™๐—œ๐—Ÿ๐—˜ ๐—œ๐—ง?

You can file the extension electronically or by mail.

You can file electronically through the IRS payment portal (itโ€™s free) and through most tax software tools.

But, if you file by mail, make sure you have documentation/proof of the date that you sent the form. ๐Ÿ˜‰

๐Ÿ‘‰ ๐—›๐—ข๐—ช ๐——๐—ข๐—˜๐—ฆ ๐—™๐—œ๐—Ÿ๐—œ๐—ก๐—š ๐—™๐—ข๐—ฅ ๐—”๐—ก ๐—˜๐—ซ๐—ง๐—˜๐—ก๐—ฆ๐—œ๐—ข๐—ก ๐—”๐—™๐—™๐—˜๐—–๐—ง ๐— ๐—ฌ ๐—ง๐—”๐—ซ ๐—ฃ๐—”๐—ฌ๐— ๐—˜๐—ก๐—ง?

Even if you file for an extension, your tax ๐™ฅ๐™–๐™ฎ๐™ข๐™š๐™ฃ๐™ฉ is still due April 18th, even if you extend your ๐™›๐™ž๐™ก๐™ž๐™ฃ๐™œ deadline to October.  Try to estimate as close as you can to the amount of taxes you have due, and make sure to pay it by April 18th to avoid late payment fees and interest.

๐Ÿ‘‰ ๐——๐—ข๐—˜๐—ฆ ๐—ง๐—›๐—œ๐—ฆ ๐—ฃ๐—ฅ๐—ข๐—–๐—˜๐—ฆ๐—ฆ ๐—–๐—ข๐—ฉ๐—˜๐—ฅ ๐— ๐—ฌ ๐—ฆ๐—ง๐—”๐—ง๐—˜ ๐—ง๐—”๐—ซ๐—˜๐—ฆ, ๐—ง๐—ข๐—ข?

Nope โ€“ thatโ€™s a different process.  You will need to ask your local Secretary of State about the procedure and file that separately.

๐Ÿ‘‰ ๐—”๐—ฅ๐—˜ ๐—ง๐—›๐—˜๐—ฅ๐—˜ ๐—”๐—ก๐—ฌ ๐—˜๐—ซ๐—–๐—˜๐—ฃ๐—ง๐—œ๐—ข๐—ก๐—ฆ?

Yes!  There are a few scenarios that will give you an automatic 6-month extension on both filing AND payment of taxes (no extension filing required). This includes things like being a member of the military serving outside of the U.S., a U.S. citizen living and working abroad, living in a part of the country thatโ€™s been hit by severe natural disasters, and more.

๐Ÿ‘‰ ๐—ช๐—›๐—˜๐—ฅ๐—˜ ๐—–๐—”๐—ก ๐—œ ๐—Ÿ๐—˜๐—”๐—ฅ๐—ก ๐— ๐—ข๐—ฅ๐—˜?

Just check out the link below ๐Ÿ‘‡ We added a link to a super-helpful blog that walks you through the process step-by-step – and it also includes links to other helpful resources!

We hope that helps!

Now – what about you?  Are you planning to file an extension this year? 

Donโ€™t worry – we promise, itโ€™s a really simple process.

And, of course, it is too late for us to get your books in order for your CPA to file your 2021 taxes, but it isnโ€™t too late to help get your books in order for 2022 to hand over to your CPA next yearโ€“ just reach out! โค๏ธ 

Weโ€™d love to help! โ€ข โ€ข (352) 432-8104

Kerry Postel โ€“ Founder CEO Principal

Abacus Business Solutions

Has Higher National Diploma in Business and Finance, Certified in QuickBooks, Member of American Institute of Bookkeepers, and over 20 years of bookkeeping experience including construction, travel, restaurants, events management, and other various professional services.

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