4 Popular Tax Extension Questions

Tax Extension Questions

2020 has been a wild ride so far! While protecting your health, did you forget to file your taxes? Have no fear, because CPA Nerds is here to remind you of a few important things. In this article, we’ll answer a few important tax extension questions pertaining to tax filing deadlines from customers. 

Income Tax Due Dates

Mary: Hi CPA Nerds. Have the due dates for my tax return payment changed this year?

CPA: Hi Mary. The due date for individual and corporate income tax payments (if you owe) has changed to July 15. Due to this date changing from April 15, there is no additional extension to pay if you owe the IRS. If you don’t have your tax return completed yet and you expect to owe and pay it to the IRS by July 15th in order to avoid penalties. Contact your CPA Nerds to help prepare that estimate if you are unsure. Avoiding unnecessary payments to the IRS makes us happy. 

First and Second Quarter Estimated Payments 

John: I have a question about fees. Will I see penalties for the First and Second Quarter estimated payments?

CPA Nerds: John, this is a popular question right now. The IRS released Notice 2020-23 to the public in March; this document says First and Second Quarter income taxes that need to be paid are extended to July 15. If you pay both by this date, you will not receive a penalty fee. We don’t believe this will be extended further.

File Tax Extension

Jen: Is there any way I can file an extension?

CPA Nerds: If you need more time to file your taxes, we can file an extension on your behalf to extend the due date from July 15 to October 15. However, this is an extension to file, not an extension to pay. Contact us so we can help you calculate an extension payment to be paid by July 15 to avoid penalties. 

Any More Questions?

Mark: Thank you for the continued resources to help me file my taxes. What if I have additional questions.

CPA Nerds: You can always contact us for further questions or help. You can also review the IRS’s website for this topic.

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