If you can't file tax return now, file for tax extension by Tuesday to avoid hefty penalties
PITTSBURGH (KDKA) — Because of a government holiday in Washington, D.C., this year, April 15 is really April 18, at least when it comes to filing your tax returns.
But as KDKA-TV money editor Jon Delano explains, most taxpayers can extend that deadline to Oct. 15, with a catch.
A few extra days this year to file your taxes won't be enough for millions of taxpayers who will file an application to extend the traditional tax deadline, says Mark Steber, chief tax information officer for Jackson Hewitt.
Delano: "Is it easy to do?"
Steber: "It is very easy to do. It's a very small form. In fact, it's entitled the automatic extension of time to file, which has with it a clear warning."
Steber says the extension applies to your paperwork, not to pay the taxes owed.
"It's an application and extension of the time to file your paperwork, to send in your tax documents. It is not an extension of time to pay," says Steber.
So if you expect a refund, no sweat. File for the extension with Form 4868, online or by mail postmarked April 18, and you have until Oct. 15 to file your paperwork.
If you owe money, however, you must pay at least 90 percent of that money owed online or by mail postmarked on April 18. Failure to do so could result in not just interest payments and a penalty of up to 25 percent of the taxes owed but a third charge for not filing for an extension.
"You're going to need to send in something or you're going to get the potential trifecta of penalties, and you certainly don't want that. It can be bigger than your tax liability in a pretty short amount of time," Steber said.
And don't forget to file an extension for your Pennsylvania taxes at the same time.