How to File Personal Tax Extension Online: A Step-by-Step Guide

Tax season can be stressful, and sometimes, you need some extra time to prepare your tax return when you are busy with other important stuff. If you find yourself struggling while gathering documents and completing your tax return by the deadline, don’t worry. There is a tool called tax extension that helps you and gives you more time to fill out your tax return. You can just simply apply for a six-month extension by submitting the proper form to the Internal Revenue Service (IRS). In this blog, we will be focusing on filing the file personal tax extension online. We will walk you through the process of how to file personal tax extension online in simple steps, explaining what it means, how to do it, and some important things to keep in mind.

What is a Tax Extension?

Think of a tax extension as a “time out” for your tax return. It gives you an extra six months to file your federal income tax return, pushing the deadline from April 15th to October 15th. While a tax extension gives you more time to file your return, it doesn’t give you more time to pay any taxes you owe. It’s crucial to estimate your tax liability and make an estimated tax payment by the original deadline to avoid penalties and interest charges.

Here's Why an Online Tax Extension Might be Helpful:

Missing Documents: If you forget to gather your crucial tax form or documents and need more time to find them then tax extension is the perfect option for you.

Self-Employed or Complex Finances: If your income situation is more complex, involving self-employment or multiple investments, an extension allows for a more thorough review.

Do you want to know more about our hihellohr Software?

Key Takeaways

Things to know before filling out the file for personal tax extension online:

You can file for personal tax extension online or through the mail.
You can extend your tax return for up to six months only.
If any amount is deducted it will be refundable when you file for your tax return.
It will only extend the filing deadline, not the payment deadline.
Moreover, If the tax payment deadline falls on a Saturday, Sunday, or a government holiday, the tax date will be extended to the next working day. And in case of a natural disaster or pandemic, the tax filing deadline is shifted as well.

Are There Any Penalties for Filing Tax Extension?

Filing the file for personal tax extension online is not illegal and there is no penalty for filing tax extension. However, not paying the tax on time can cost you. Despite that, if you don’t pay the tax on time the IRS will charge you an extra amount as interest on the unpaid tax. You can also face a late payment penalty if you don’t pay 90% of the amount.

How to File Personal Tax Extension Online

Below we have mentioned easy and simple ways to file personal tax extension online. To file personal tax extension online, there are three main ways to do it:

1. Using IRS Free File

The IRS offers a “Free File” program where you can electronically file various tax forms, including the extension request, for free. Here’s how:

Visit the IRS Free File website: Go to https://www.irs.gov/filing File and choose the software provider that best suits your needs.
Create an account: Follow the on-screen instructions to register for an account with your chosen tax software.
File Form 4868: Once logged in, go to the section for filing extensions. You’ll likely find an option to electronically submit Form 4868, the Application for Automatic Extension of Time to File U.S. Individual Income Tax Return.
Fill in the Information: The form will ask for basic information like your Social Security number, filing status, and estimated tax liability.
Submit: Once everything is filled out, review your information carefully before submitting the form.

Once submitted you will receive an acknowledgement mail, keep this mail with your tax records.

2. Using Tax Preparation Software

Many popular tax preparation software offer options to file an extension within their platform. Be sure to check if your chosen software allows this specific feature. Here are some general steps for using tax software for an extension:

Open your Tax Software: Log in to your account with your chosen tax software.
Extension Option: Look for a dedicated section for filing extensions. It might be titled “Extensions” or “File an Extension.”
Follow the Commands: Similar to IRS Free File, the software will guide you through filling out the necessary information for Form 4868.
Submit Electronically: Once the information is entered, review and submit the extension request.

3. File a Tax Extension Request by Mail

You can also request for tax extension through a paper form. All you have to do is download the form from the IRS website or request a paper form through the mail after filling out an order form.

Key Points to Remember

Don’t Wait Until the Last Minute: If you are waiting for a last minute to fill out the tax extension, it’s wise to do it sooner rather than later. Unexpected technical issues or high online traffic could lead to last-minute complications.

Estimate Your Tax Bill: Remember, an extension doesn’t delay your tax payment. Do your best to estimate how much you owe and make an estimated tax payment by the original deadline to avoid penalties and interest. The IRS website provides resources to help you estimate your tax liability.

Keep Records of Your Extension: Once submitted, keep a copy of your electronically filed extension or a confirmation email for your records.

Consider Consulting a Tax Professional: If your tax situation is complex or you have specific questions, consider seeking guidance from a qualified tax professional. They can help you ensure you’re filing accurately and advise on your estimated tax payment.

Once you’ve submitted your file personal tax extension online request, the IRS will send you a confirmation (usually electronically) acknowledging your request for an additional six months to file.