Weekly Business Tip: How to File a Tax Extension

It's almost April 15th and you haven't filed your family child care tax return yet. Don't panic. If you need more time you can file for a six month extension.

You may need more time to calculate your depreciation deductions, sort out your records, or deal with a family emergency. However, you don't need to give a reason when you file for an extension.

File Form 4868 Application for Automatic Extension of Time to File U.S. Individual Income Tax Return. This will give you until October 15th to send in your tax forms.

By filing Form 4868 you do not have more time to pay the taxes you owe. They are still due on April 17th. If you don't know how much you will owe, pay what you estimate you will owe with this form. If you underestimate this amount, you will owe interest on the unpaid taxes.

Update: Here's an IRS article on filing extensions with links to videos and podcasts.

Tom Copeland - www.tomcopelandblog.com

Image credit: https://commons.wikimedia.org/wiki/File:Income-tax-491626_1920_(1).jpg

For more information on filing your own taxes, see my book Family Child Care Tax Workbook and Organizer.