For those of you procrastinators who haven’t begun on your taxes, you will need to file an extension. Almost all of you will need to file a form (4868) to get additional time for your taxes. Your CPA or tax preparer can file that for you or you may be able to do so yourself. However, you must file by the April 15 deadline. Don’t get caught forgetting to do so. That could cost you 5% per month up to a maximum of 25%.
Getting your extension has other consequences. You will have to pay interest on what you owe. You will pay at a rate of 0.5% per month for all full and partial months after the April 15 deadline. The exception is you may not have to pay the penalty if you pay 85% or more before the deadline and the rest when you file.
What happens if you miss the extension deadline? Sixty days after it is due you will face further penalties.
Many people file late for numerous reasons. Is it worth it to file late? Maybe if you need to find the funds to pay your taxes or if you are an investor still waiting for K-1 forms from your investments. There may be other reasons.
Note that you still need to pay all tax that were due by April 15th even if you are filing an extension or the penalty for not paying accrues, but the extension knocks off the penalty for filing late.
Can you still get your personal taxes prepared and ready by April 15? Depends on your accountant and his or her schedule. If you are late to the game give Les Merritt, CPA and CFP, a call to see if you can file or at least get your extension in on time. Les has been helping businesses, families and individuals with their taxes and investments for decades.
Before it’s too late, give Les Merritt a call at (919) 269-8553 to schedule right away. Don’t be one of the procrastinators who pulls his head above sand on April 16 and says, “Oops, I forgot.” Stop putting if off and be sure you make arrangements today. Separate yourself from the rest of the procrastinators!