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Tax Tip Tuesday: File for an extension to get more time

 Filing for an extension is more common that you might think—12 percent of filers request an extension, or about 19 million nationwide.
Tax Filing
Posted at 5:05 AM, Mar 28, 2023
and last updated 2023-03-28 18:41:48-04

INDIANAPOLIS— The deadline to file your taxes, April 18, is fast approaching.

 In this week’s Tax Tip Tuesday, WRTV Investigates explains why it’s crucial to file for an extension.

 Filing for an extension is more common that you might think—12 percent of filers request an extension, or about 19 million nationwide.

 The Internal Revenue Service says if you ask for an extension, you will get another six months to file your taxes.

 Just be aware:

  • An extension of time to file your return does not grant you any extension of time to pay your taxes.
  • You should estimate and pay any owed taxes by your regular deadline to help avoid possible penalties.
  • You must file your extension request no later than the regular due date of your return.

 "If you don't request an extension, and you don't file your tax return on time, the failure to file penalty starts the due date of the tax return and it's 5% per month/part of the month its late,” said Stacy Engle, an IRS spokesperson based in Indianapolis. “It can add up pretty fast."
 You can use IRS Free File to request an extension.

 Some people are granted one automatically such as people serving in active combat or living abroad.

 You can also get an extension by paying your estimated income tax due and indicate that the payment is for an extension using Direct Pay, the Electronic Federal Tax Payment or a credit or debit card-- this way you won't have to file a separate extension form.