What A Tax Return Extension Is And Isn’t

Filing an extension sounds great in theory. More time, less stress, and that goes double for us tax guys :) Now, just like anything with the IRS, it's not as straightforward as you'd think. Here's what I mean....

An extension doesn’t give you extra time to pay—it just pushes your paperwork back. If you owe taxes, you still have to make a payment. And if you don’t pay on time? Late payment penalties start stacking up.

Yup, unfortunately an extension to file is NOT an extension to pay.

For some people, an extension makes sense (waiting on documents, complicated returns, etc.). But for most, it turns into procrastination with consequences. 

If you’re on the fence about extending, it's all good. Extensions are totally normal, legal, and absolutely the right move for some people. Just remember that every ying has a yang and when it comes to extensions, you still have to pay on time even if you're filing later. 

There's you tax tip of the day. Enjoy :)

A while ago, one of our clients, Adam explained how he's finally tax "unworried" in his life thanks to mainly JT. I'll take a little credit if I can, but it's mainly him. Check out a few ways Adam has enjoyed working with us for taxes, https://www.instagram.com/p/C5AQuoBM630/