For those who haven’t filed their taxes yet and may need more time, filing a tax extension could be necessary, especially if using an accountant. Filing an extension involves submitting Form 4868 to the IRS either electronically or by mail before the April 15 deadline. If you owe taxes, you must pay your estimated income tax due to avoid penalties and interest. Extensions do not delay any taxes owed to the IRS, and failing to pay at least 90% of your tax liability by the deadline can result in late fees. Penalties and interest will accrue until the balance is paid in full, and the IRS offers options for payment plans.
Taxpayers in certain situations are automatically granted more time to file, such as military personnel in combat zones or individuals in federally declared disaster areas. Those living outside the country have until June 17 to file. Not filing by the deadline could result in missing out on potential refunds, such as the child tax credit for new dependents in 2023. The child care tax credit remains the same as in 2019, allowing for reimbursement of expenses for child care services. While filing an extension may delay the refund, opting for electronic filing and direct deposit can expedite the process.
Taxpayers can file their 2023 tax return online, by phone, or with the mobile IRS2Go app. Those making $79,000 or less can use an IRS-approved free filing service, while those making more can utilize the Free File Fillable Form. Payments can be made electronically through IRS Direct Pay, credit card, or the Electronic Federal Tax Payment System. Reviewing and accessing tax-related details, including address and payment plan information, can be done online through the IRS account. Taxpayers can access information on adjusted gross income, stimulus payments, child tax credit amounts, and tax transcripts. Signing up for direct deposit when filing taxes is recommended for faster refunds.
Overall, filing a tax extension, paying estimated income taxes, and utilizing online resources can help taxpayers navigate the tax process efficiently. By understanding the implications of extensions and deadlines, individuals can avoid penalties and take advantage of potential refunds. With the variety of online tools and payment options available, taxpayers can easily file their taxes, review their accounts, and track their refunds. Whether using tax software or filing manually, staying informed and proactive can lead to a smoother tax filing experience.
