strategystill.blogg.se - File extension for business tax return

It is unlikely there will be a similar automatic extension for 2020 returns filed in the 2021 filing season, but anything can happen so monitor IRS activity in this regard.

Due to COVID-19, the IRS extended the due date for filing 2019 returns for individuals and calendar-year C corporations from April 15, 2020, to July 15, 2020.

Sole proprietors who live abroad have two extra months to file and can then request an additional four months.

Sole proprietors and independent contractors, who file Schedule C (or Schedule F for farmers) with their Form 1040 or 1040-SR, use Form 4868 or make an estimated tax payment indicating it’s for purposes of an extension.Īs mentioned, there are several situations where more time is automatically granted for filing a return no request is needed.

C corporations, S corporations, and partnerships use Form 7004 to ask for an extension.Reality: While there are some situations that result in automatic extensions (explained later), in most cases, to get an extension, you need to request one no later than the original due date of the return.

Myth: No action is required to obtain a filing extension. Again, whatever the reason a business may have for wanting an extension, it isn’t relevant to asking for and obtaining more time to file. Common reasons why extensions are used are missing records needed for return preparation, busy CPAs or other tax return preparers, or just procrastination. Reality: You don’t need a reason or give any reason to the IRS when requesting a filing extension. Myth: You need a good reason for requesting a filing extension. Here are 5 myths…and the realities of filing extensions.