Tax day is approaching, are you ready?
Taxes are due July 15th this year. Due to the coronavirus pandemic, the federal government extended the traditional April 15th deadline to July 15th.
It is possible to file an extension through October 15th, by filling out form 4868 on the IRS website. However, you still must pay your ESTIMATED taxes due on July 15th. You should pay the estimated amount to avoid penalties and added interest. If you overpay, you will recoup the extra funds in a refund. If you underpay, you'll pay more taxes when you do file, but pay less in penalties.
If you don't want to go anywhere, you can file online. There are several programs to file online including TurboTax, TaxSlayer, Jackson Hewitt, and H&R Block. The IRS allows electronic options, in support of social distancing.
Of course, if you find the process overwhelming, or even too stressful, you may want to seek out a local certified public accountant or visit a local tax service. As always, you can ask your friends and go with their referrals. A lot of times, verbal referrals prove to be very reliable.
It is recommended to file your taxes, even if you cannot pay the full amount due today. The penalty for not filing will be more than failing to pay.
Due to the coronavirus pandemic, the federal tax deadline was pushed back to July 15th, and many states followed. Do NOT overlook state filing deadlines.
If you have questions, you can always refer to the IRS website for answers. Good luck with this year's IRS experience.