Are you feeling unprepared to file your taxes this season? You’re not alone. According to a survey by IPX1031, 1 in 4 Americans are not ready to file their taxes, and 29% admit to procrastinating. But don’t worry, if you need more time, there’s a quick and free way to file a federal tax extension online.
At Extreme Investor Network, we understand the importance of proper tax planning and preparation. As experts in personal finance, we want to help you navigate the tax season smoothly. Tommy Lucas, a certified financial planner, and enrolled agent at Moisand Fitzgerald Tamayo in Orlando, Florida, emphasizes that filing for a federal tax extension only takes minutes.
The federal tax deadline is looming on April 15 for most taxpayers. However, you can file an extension to push the deadline by six months to October 15. Without the extension, you risk triggering the failure-to-file penalty, which can add up to 25% of your unpaid taxes.
It’s crucial to note that an extension to file is not an extension to pay. Sean Lovison, a CFP and founder of Purpose Built Financial Services, reminds taxpayers that taxes owed are still due by the original deadline. To minimize penalties and interest, it’s recommended to pay at least the safe harbor amount, which is 100% of last year’s taxes or 110% if your prior year’s adjusted gross income was $150,000 or more.
When it comes to filing a tax extension online for free, taxpayers have several options. Experts suggest opting for digital options over mailing Form 4868 to the IRS. You can choose the “extension” option when making your estimated tax payment for 2023, automatically processing your extension without the need for an additional form.
Additionally, you can file your extension for free online via IRS Free File, a public-private partnership between the IRS and several tax software companies. By selecting the right option, you can easily extend your tax deadline and avoid unnecessary penalties.
At Extreme Investor Network, we prioritize financial education and empowerment. Stay tuned for more exclusive insights and tips on personal finance, investing, and tax planning on our website. Let us help you take control of your financial future and make informed decisions for greater financial well-being.
