If you haven’t had an opportunity to file your tax return yet amid COVID-19 and recession fears, you’re not out of luck, according to TaxAudit – a tax audit representation and defense service leader. Why? Because the Internal Revenue Service and United States Treasury Department has extended the filing deadline for the 2019 tax year to July 15 from April 15.
TaxAudit: Federal Government Extends Tax Filing & Tax Payment Deadlines
With the filing deadline extension, you may also defer your tax payments to July 15 without interest and penalties, provided the amount you owe is less than one million dollars for individual taxpayers and less than ten million dollars for corporations. You can take advantage of this deferment whether you are an individual, estate or trust, corporation, or another non-corporate filer. The deferment also applies to anyone who pays taxes for being self-employed.
Note that you as a taxpayer don’t have to file additional forms to take advantage of the tax filing/payment relief. Likewise, there is no need to contact the Internal Revenue Service to qualify. Rather, the deadline extensions are automatic. However, if you find that you need even more time to complete the filing process, you may request an extension for filing your taxes using Form 4868 (or Form 7004 if you are a business). A tax expert can help with this process.Read more: Financing options for small business
Still, if you are owed a tax refund, it is paramount that you file as quickly as you can. The reason for this is that the Internal Revenue Service is still issuing the majority of federal refunds within 21 days. The fastest way to receive tax refunds is by filing electronically using direct deposit.
On the flip side, if you are facing tax issues – for instance, you owe taxes that you cannot pay – a tax expert can help you to determine all of your tax relief options and make the best choice for your situation. For instance, you may be able to set up a viable payment plan or wipe out your tax debt altogether, according to TaxAudit.