The IRS announced yesterday that the income tax filing due date for individuals for the 2020 tax year would be extended to May 17th. The original due date was April 15th.
In this live stream video, I will outline everything you need to know BEFORE you file your taxes.
Also, to complement this video, I have created a Tax Form Checklist. This checklist will help you have a stress-free tax season.
Now let's breakdown the latest tax changes for 2021. I'm also going to answer several questions I have received since this new change.
- Overview - Instead of individuals needing to file their taxes by April 15th, you now have until May 17th.
- With the tax date being extended individual taxpayers can also postpone their federal income tax payments for the 2020 tax year to May 17th. The original date was April 15th.
- Plus you will not receive penalties and interest if you postpone your federal income tax payments regardless of the amount owed.
- Also, these changes include individuals who are required to pay self-employment taxes.
- Caution: If the amount is left unpaid starting May 17th, you will begin to accrue penalties and interest. Pay on time or make a payment arrangement with the IRS.
- Is the Extended Deadline For Everyone?
- If you are an individual taxpayer, the extended date of May 17th applies to you automatically. You do not need to call the IRS or file any forms.
- What if I'm not ready by the May 17th Deadline?
- If you are not ready to file by the new deadline of May 17th, you will need to file an extension which will give you until October 15th.
- This extension ONLY applies to your tax return. It DOES NOT grant you an extension on paying the taxes that are due.
- Any taxes due must be paid by May 17th, or you will accrue interest and penalties.
- What If I'm Due A Refund?
- If you are currently due a refund, the IRS encourages you to file your taxes ASAP.
- How Does This Extended Date Affect My Business or Estimated Tax payments?
- With estimated tax payments as a taxpayer, you must pay those throughout the year either through withholdings or estimated tax payments.
- This relief does not apply to estimated tax payments that are due on April 15th, 2021. These payments are still due on April 15th.
- Does This Extended Deadline Include My State Tax Returns?
- The federal tax filing extended date of May 17th only applies to individual federal income returns and taxes that are normally due 15th.
- The extended date does not apply to state tax payments or deposits or payments of any other type of federal tax.
- You need to check with your state for their changes and updates.
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If you have additional questions or comments, be sure to leave them below.
Don't forget to download your tax form checklist in the description as well.
If you need assistance with filing your business and personal taxes, click the link below free a tax discovery session with us today.
Until next time - Say Yes To Profits!
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