Hi! I’m Bette Hochberger, CPA,CGMA. Tax season is upon us, and with it comes many deadlines that individuals and businesses must adhere to. Understanding these deadlines and the importance of filing on time is important for avoiding penalties and staying in good standing with the IRS.
So, let’s go ahead and get into what each deadline requires and why timely filing is essential, along with the option of filing for an extension.
April 15: Individual Income Tax Returns
April 15 marks the deadline for filing individual income tax returns for most taxpayers. Failing to meet this deadline can result in penalties and interest charges on any taxes owed. It’s essential to file your return on time to avoid these consequences and ensure compliance with tax laws.
Why It’s Important:
– Avoid penalties and interest charges
– Maintain compliance with tax laws
– Receive any refunds owed in a timely manner
April 15: Estimated Quarterly Tax Payments
For self-employed individuals and those with other sources of income not subject to withholding, April 15 is also the deadline for making estimated quarterly tax payments for the first quarter of the year. These payments help taxpayers avoid underpayment penalties and ensure that they meet their tax obligations throughout the year.
Why It’s Important:
– Avoid underpayment penalties
– Stay on track with tax obligations
– Manage cash flow effectively
Extension Deadline: October 15
If you’re unable to file your tax return by the original deadline, you have the option to request an extension! For individual income tax returns, the extension deadline is October 15. Filing for an extension gives you additional time to gather necessary documents and ensure that your return is accurate.
However, it’s important to note that an extension does not extend the deadline for paying any taxes owed. You must estimate and pay any taxes due by the original deadline to avoid penalties and interest charges.
What an Extension Can Do:
– Provide extra time to file your tax return
– Avoid late filing penalties
– Reduce stress and allow for thorough preparation
Understanding and meeting tax deadlines is essential for individuals and businesses alike. By staying informed them and their implications, as well as considering options such as filing for an extension when needed, taxpayers can navigate tax season with confidence and compliance!
I’ll see you all next time!
