Taxpayers have three extra months to pay their taxes this year as the country continues to reel from the COVID-19 pandemic.
The Internal Revenue Services extended the deadline on March 21, which also applies to tax payments. No penalties or interest will be incur during this pause. The IRS said these deferments apply to all taxpayers, trusts, estates, corporations and other non-corporate entities that file taxes.
Here are some other changes:
- Need more time? You can file a Form 4868 by July 15 for a new October deadline. This automatic extension will provide companies extra time to complete necessary paperwork.
- Don’t worry about filing a special form to take advantage of the new deadline. As long as your business files a return or extension request by July 15, it will not incur interest or penalties.
- Deadlines for contributions to retirement accounts, ROTH IRA, health savings accounts and other related funds, are extended through July 15.
- The July 15 extension does not apply to gift, excise and payroll taxes. Anything without an April 15 deadline does not qualify.
We understand that there’s a lot of uncertainty in the air. We hope this tax extension offers some much-needed flexibility that will help your business carry on during this difficult time.
If you have any concerns or want assistance through our consultative services, please do not hesitate to reach out to us today. We are happy to help and provide guidance your business needs to continue moving in the right direction.