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Nicholas Hartney, EA | Instructions for Filing an Extention of Time to File Income Tax Returns with the IRS

Form 4868 for those of us who need some extra time to file their   Automatic 6-month extension by filing.



Purpose of Form Use Form 4868 to apply for 6 more months (4 if “out of the country” (defined on page 2) and a U.S. citizen or resident) to file Form 1040, 1040A, 1040EZ, 1040NR, 1040NR-EZ, 1040-PR, or 1040-SS


Qualifying for the Extension


To get the extra time you must:


1. Properly estimate your 2014 tax liability using the information available to you,


2. Enter your total tax liability on line 4 of Form 4868, and


3. File Form 4868 by the regular due date of your return.


If you do not pay the amount due by the regular due date, you will owe interest. You may also be charged penalties. For more details, see Interest and Late Payment Penalty on page 2. Any remittance you make with your application for extension will be treated as a payment of tax. You do not have to explain why you are asking for the extension. We will contact you only if your request is denied. Do not file Form 4868 if you want the IRS to figure your tax or you are under a court order to file your return by the regular due date.


There are three ways to request an automatic extension of time to file a U.S. individual income tax return.


1. You can file Form 4868 and pay all or part of your estimated income tax due. See How To Make a Payment, on page 3.


2. You can file Form 4868 electronically by accessing IRS e-file using your home computer or by using a tax professional who uses e-file.


3. You can file a paper Form 4868. It’s Convenient, Safe, and Secure IRS e-file is the IRS’s electronic filing program. You can get an automatic extension of time to file your tax return by filing Form 4868 electronically. You will receive an electronic acknowledgment once you complete the transaction. Keep it with your records. Do not mail in Form 4868 if you file electronically, unless you are making a payment with a check or money order (see page 3). Complete Form 4868 to use as a worksheet. If you think you may owe tax when you file your return, you will need to estimate your total tax liability and subtract how much you have already paid (lines 4, 5, and 6 below). Several companies offer free e-filing of Form 4868 through the Free File program. For more details, go to IRS.gov and click on freefile. Pay Electronically You do not need to submit a paper Form 4868 if you file it with a payment using our electronic payment options. Your extension will be automatically processed when you pay part or all of your estimated income tax electronically. You can pay online or by phone (see page 3). E-file Using Your Personal Computer or Through a Tax Professional Refer to your tax software package or tax preparer for ways to file electronically. Be sure to have a copy of your 2013 tax return—you will be asked to provide information from the return for taxpayer verification. If you wish to make a payment, you can pay by electronic funds withdrawal or send your check or money order to the address shown in the middle column under Where To File a Paper Form 4868 (see page 4). File a Paper Form 4868 If you wish to file on paper instead of electronically, fill in the Form 4868 below and mail it to the address shown on page 4. For information on using a private delivery service, see page 4. Note. If you are a fiscal year taxpayer, you must file a paper Form


When To File Form 4868 File Form 4868 by April 15, 2015. Fiscal year taxpayers, file Form 4868 by the original due date of the fiscal year return. Taxpayers who are out of the country. If, on the regular due date of your return, you are out of the country and a U.S. citizen or resident, you are allowed 2 extra months to file your return and pay any amount due without requesting an extension. Interest will still be charged, however, on payments made after the regular due date, without regard to the extension. For a calendar year return, this is June 15, 2015. File this form and be sure to check the box on line 8 if you need an additional 4 months to file your return. If you are out of the country and a U.S. citizen or resident, you may qualify for special tax treatment if you meet the bona fide residence or physical presence tests. If you do not expect to meet either of those tests by the due date of your return, request an extension to a date after you expect to meet the tests by filing Form 2350, Application for Extension of Time To File U.S. Income Tax Return. You are out of the country if: • You live outside the United States and Puerto Rico and your main place of work is outside the United States and Puerto Rico, or • You are in military or naval service on duty outside the United States and Puerto Rico. If you qualify as being out of the country, you will still be eligible for the extension even if you are physically present in the United States or Puerto Rico on the regular due date of the return. For more information on extensions for taxpayers out of the country, see Pub. 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad. Form 1040NR or 1040NR-EZ filers. If you cannot file your return by the due date, you should file Form 4868. You must file Form 4868 by the regular due date of the return. If you did not receive wages as an employee subject to U.S. income tax withholding, and your return is due June 15, 2015, check the box on line 9. Total Time Allowed Generally, we cannot extend the due date of your return for more than 6 months (October 15, 2015, for most calendar year taxpayers). However, there may be an exception if you are living out of the country. See Pub. 54 for more information. Filing Your Tax Return You can file your tax return any time before the extension expires. Do not attach a copy of Form 4868 to your return. Interest You will owe interest on any tax not paid by the regular due date of your return, even if you qualify for the 2-month extension because you were out of the country. The interest runs until you pay the tax. Even if you had a good reason for not paying on time, you will still owe interest. Late Payment Penalty The late payment penalty is usually ½ of 1% of any tax (other than estimated tax) not paid by April 15, 2015. It is charged for each month or part of a month the tax is unpaid. The maximum penalty is 25%. The late payment penalty will not be charged if you can show reasonable cause for not paying on time. Attach a statement to your return fully explaining the reason. Do not attach the statement to Form 4868. You are considered to have reasonable cause for the period covered by this automatic extension if at least 90% of your actual 2014 tax liability is paid before the regular due date of your return through withholding, estimated tax payments, or payments made with Form 4868. Late Filing Penalty A late filing penalty is usually charged if your return is filed after the due date (including extensions). The penalty is usually 5% of the amount due for each month or part of a month your return is late. The maximum penalty is 25%. If your return is more than 60 days late, the minimum penalty is $135 or the balance of the tax due on your return, whichever is smaller. You might not owe the penalty if you have a reasonable explanation for filing late. Attach a statement to your return fully explaining your reason for filing late. Do not attach the statement to Form 4868. How To Claim Credit for Payment Made With This Form When you file your 2014 return, include the amount of any payment you made with Form 4868 on the appropriate line of your tax return. The instructions for the following line of your tax return will tell you how to report the payment. • Form 1040, line 70. • Form 1040A, line 46. • Form 1040EZ, line 9. • Form 1040NR, line 66. • Form 1040NR-EZ, line 21. • Form 1040-PR, line 11. • Form 1040-SS, line 11. If you and your spouse each filed a separate Form 4868 but later file a joint return for 2014, enter the total paid with both Forms 4868 on the appropriate line of your joint return. If you and your spouse jointly file Form 4868 but later file separate returns for 2014, you can enter the total amount paid with Form 4868 on either of your separate returns. Or you and your spouse can divide the payment in any agreed amounts.