Tax Deadlines are quickly approaching, are you ready?
Filing a tax extension back in March or April was certainly a move that bought you a little more time to gather your tax docs together. But as the weeks and months of summer tick by, we’re finding the extension deadlines rapidly approaching on the horizon, which probably has you wondering… now what?!?
Navigate Tax Extension Filing Deadlines
Partnerships and S-Corporations
Partnerships and S-Corporations originally had a due date of March 15th, and are now extended to September 15th. That means if your return is not submitted (electronically or otherwise) by 9/15, you’re going to face late-filing penalties… regardless of whether or not you extended. It’s important to know that if you’re the owner of a partnership or S-corporation, this return has to be prepared and filed first—since the K1s from these returns ultimately flow through to your personal returns.
For Individuals and Corporations
Individuals filing Form 1040 and corporations filing Form 1120 were originally due April 18th, and with a tax extension will be due October 16th. In order to avoid late-filing penalties, you’ll want to get the return prepared and filed in advance of that date. Waiting until the last minute is not advised, as we’ll need several weeks to review and ship out the last batches of returns by the deadline.
Upload Key Documentation
If you haven’t logged in yet, you’ll want to access your online organizer for individual returns. In that organizer, you’ll have the opportunity to upload key documents and any other information needed. For business returns, it’s likely that most of what we need can be shared via access to your accounting software or even just a complete set of financial statements.
Review and Video Walkthrough
Once we have your materials, we get to work assembling a draft of your returns so that we can share them with you for review. We’ll generally record a video walkthrough for each return so you can see page by page how the numbers come together and where the source for each of the numbers comes from. As soon as you send us your approval and pay your invoice, we e-file your returns and send you copies for your records.
Avoid Late Fees
Just to be clear, even if you can’t pay your taxes in full, it’s still highly preferable to file the returns on time. Even if you can’t pay a penny, filing the returns on time means you avoid late filing penalties, which otherwise would go on TOP of your underpayment penalties. And if you can afford to make partial payments, that will reduce the amount of interest you’ll be paying on the late balance. So bottom line… file on time and pay what you can!
Need more than seasonal tax help? We’re here all year round to help you navigate your finances and plan for the future. Want to learn more? Connect with us here!