How to File for a Tax Extension

As the tax filing deadline approaches day, many Americans realize that they may not be able to file their business or personal tax return on time. This can obviously be a bit scary, but please don't worry because there is something you can do. 

Any taxpayer can file an online tax extension. All you'll need is your name, address, and either your Social Security number or Employer Identification Number (EIN) and the IRS doesn't require a reason to request an extension. It's important to remember that an extension only grants you more time to file your business or personal tax return, not pay any taxes you may owe.  To avoid late payment penalties and interest, you should also estimate how much, if anything, you'll ultimately owe in taxes and electronically pay that amount with your extension. While late payment penalties are painful, late filing penalties are even more painful so be sure to file either your tax extension or tax return by the filing deadline. Once approved by the IRS, you will receive an automatic extension of time to file. You will have an additional six months to submit your personal or business tax return.