The IRS Resisted But Finally Gave In And Extended The Filing Deadline
“Resistance is futile!” This line that was made famous in the movie Star Trek: First Contact is one that is applicable to the IRS this tax season. They tried to resist the pressure from professional tax preparers to extend the tax filing deadline, but eventually they caved. Actually, they came to their senses. Now, you have until May 17, 2021 to file your taxes.
I mean, it isn’t like everyone is back on track from the devastation of the pandemic. Professional tax preparers are inundated with people scrambling for appointments. There are confusing things to figure out concerning PPP loans and stimulus payments and unemployment, ad infinitum. And, the fact is that the IRS is really far behind in processing taxes. In fact, they have 2.4 million 2019 tax returns that they haven’t yet processed. So, this deadline extension is meant to be helpful to them as well.
Tax Payment Deadline Also Extended
Even better news is that if you owe the IRS, the due date for paying the taxes you owe has also been extended to May 17, 2021. Simply send your payment with your tax return forms without incurring any late payment charges, interest or penalties. The IRS will not begin charging penalties, interest, and other additions to taxes owed until after the May 17, 2021 deadline.
Estimated Tax Payments Still Due on April 15, 2021
Unfortunately, not all the dates are extended this year. Estimated tax payments are still due on April 15, 2021. If you are required to pay quarterly tax payments to the IRS because taxes are not normally withheld from your income, then you have to make that payment as you normally would. This generally applies to people who are self-employed, have rental income, or receive alimony. If you are unsure how much you should pay to the IRS, or if you need to make a quarterly payment, give us a call and we’ll help you make sure to stay in the IRS’s good graces. The important thing is not to miss the new May 17, 2021 filing and payment deadline.