How To File for a Federal Tax Extension

Taxpayers have a few extra days to file and pay their taxes to the IRS because April 15 falls on a Sunday in 2007, and the following day, Monday, April 16, is Emancipation Day, a legal holiday in the District of Columbia. But, if you still need more time you can easily file for a six month extension.

Sending in IRS Form 4868 by April 17th will land you an automatic six-month extension until October 15, 2007 to file your tax return. You can either mail in the paper form or use a tax software package. If you are eligible for Free File, you may be able to e-file for free as well. However, it is important to note that filing the form does not change the due date for when you have to pay any owed taxes.

You must still pay at least 90% of your total tax due by April 17th in order to avoid penalties for late payment. However, you will still be liable for any interest accrued on any balance due when you file your return. Therefore, it’s a good idea to overestimate your taxes owed initially, and then plan on receiving a small refund when you officially file.

You must not forget about your state taxes. You’ll need to contact an account or your state’s tax office for instructions on how to file extension with them as the Federal form doesn’t qualify you for a state tax extension.

[Stressed About Your Tax Return? File an Extension via Consumerist]

[tags]taxes, irs, irs form 4868, tax extension[/tags]