The tax filing date is April 15, and many taxpayers are scrambling to get their returns filed in time for the tax deadline. However, what many taxpayers do not know is that they can request an automatic six-month extension to delay their deadline until Oct. 15, saving money on penalties and interest. Despite this option being available, it is not without its own challenges.

How To Request An Extension Before The Deadline

All taxpayers have the option to file Form 4868 – Application for Automatic Extension of Time to File U.S. Individual Income Tax Return. Filing this form automatically changes a taxpayer’s due date for income tax filing to Oct. 15 instead of April 15.

Taxpayers do not need to provide a reason to file this form. Instead, it just needs to be completed and sent in by April 15. As part of this form, taxpayers will need to provide their basic identifying information, their spouse’s identifying information (if filing as a married couple), an estimate of their income tax liabilities, and total tax payments throughout the year.

Using this information, the form provides an opportunity for the taxpayer to input their estimate of what taxes are owed (or are due upon refund). If the taxpayer expects to owe money, the taxpayer must pay that amount before the April 15 deadline. If the taxpayer expects a refund, the taxpayer will only receive it upon filing their tax return, as Form 4868 does not lead to an income tax refund being processed by the taxing authority.

Form 4868 can be filed either by hand or using tax preparation software. In the case where a taxpayer owes money, the taxpayer must pay that amount via IRS Direct Pay (they can also use EFTPS, a debit or credit card, check or money order) and elect the option of........

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