Millions of Americans are awaiting word from the Internal Revenue Service (IRS): They can now put off filing taxes until mid-May.
With millions of Americans unable to file their taxes due to the Covid-19 pandemic, the Internal Revenue Service (IRS) has announced that taxpayers can now hold off on filing until mid-May. The decision gives taxpayers several extra weeks to get tax documents in order and prepare for what could be a complicated filing process.
In 2020, due to the Covid-19 pandemic, the IRS extended the tax filing deadline from April 15 to July 15, giving taxpayers extra time to file their taxes without incurring late penalties or interest. The deadline for some tax-related actions, such as making contributions to an IRA, was also extended. These extensions applied to individual taxpayers, regardless of location. It’s always best to check the IRS’s official website for the most up-to-date information regarding tax filing deadlines and related matters.
Here’s a breakdown of what this means for American taxpayers.
The IRS’s decision to delay the tax filing deadline will give taxpayers extra time to gather any missing documents and make sure their taxes are prepared correctly. Additionally, it provides more time for those who are expecting a refund to get their money back in a timely manner. On the other hand, taxpayers who owe money will have additional time before they must submit their tax payment – though interest may still be due on overdue payments.
What It Means for Taxpayers?
For taxpayers who are expecting a refund, the delay may mean extra time to get their money back. But for taxpayers who owe taxes, the delay may mean additional interest on late payments. It is important to note that tax returns that are not submitted by mid-May will incur penalties and fees. Therefore, it is recommended that taxpayers begin gathering any necessary documents as soon as possible in order to submit their taxes before the due date.
When Should You File Your Taxes?
The Internal Revenue Service (IRS) has announced that tax filing deadlines have been extended until May 17, 2023. This delay gives taxpayers an extra month to file their taxes and allows them more time to prepare their documents. It is important for taxpayers to keep track of the filing deadline in order to avoid any penalties or fees associated with late payments. To get started on preparing your taxes, be sure to gather all necessary documents such as W-2 forms and 1099s.
What Types of Tax Returns Are Affected by the Extension?
The tax extension applies to both individual and business taxpayers. This includes individuals filing Form 1040, corporations and S corporations filing Form 1120, partnerships filing Form 1065, and trusts and trusts filing Form 1041. Taxpayers who have filed returns for tax-exempt organizations and those who file employment tax returns are also affected. Taxpayers should be sure to check the IRS website for the latest forms in order to comply with the extended deadlines.
Will Interest and Penalties Still Apply During the Extension Period?
The IRS will continue to charge interest on any unpaid taxes and there may be penalties levied for late filings. However, some taxpayers may qualify for relief from these types of penalties if they have reasonable cause or meet specific hardship criteria. Taxpayers should contact their tax preparer or the IRS directly to discuss what options may be available.IRS Tells Millions of Americans to Put Off Filing Taxes by Steven R Patterson