Extensions on Tax Returns

Every return that needs to be filed (whether personal, business, retirement plan, etc.) has a due date; and just about every due date situation can be extended by filing the appropriate request for extension. As a general comment, this is perfunctory, no reasons are required – it’s pretty much automatic in just about any case that you can buy a few to several months extension on the filing of just about anything. A critical point that some people do not understand, is that an extension of time for filing is not an extension of time for paying. If you owe money with your tax return (personal or business), while getting an extension is extremely easy and routine, the money that you owe must be paid with that extension. Failure to do so will almost certainly cause you to incur penalties and interest; and in some cases, might even void the extension.

If you have any questions contact Kal Barson at kal@barsongroup.com.