Not Ready to File Taxes Monday? Apply for an Extension.

By filing for a tax extension on or before Monday's deadline on April 15th, you can move your deadline to October — but remember that an extension doesn't give you more time to pay your taxes.

Millions of Americans request federal income tax extensions every year. According to the IRS, approximately 10% of individual taxpayers submit valid tax extension forms during a typical tax season.

A tax extension is considered valid if it’s filed ahead of the original tax deadline, which for this year is April 15. The extension gives you six extra months—until October 15, 2024—to file your 2023 tax return.

Filing for an extension is simple and free. Taxpayers can complete the extension request form through the IRS Free File website. The official document for requesting an extension is Form 4868 and it is less than half a page long. All extensions will be applied automatically.

You can file your extension request either electronically or on paper. Either way, you will need to provide:

  • Identification information: your name, address, Social Security number, and your spouse’s Social Security number if applicable
  • Your individual income tax information: estimate of total tax liability for the year, total payments you’ve already made, the balance due, and the amount you are paying.

You can also get an extension by electronically paying all or part of your estimated income tax due and indicating the payment is for an extension. You can make a same-day payment or schedule a payment by accessing your IRS Individual Online Account, using Direct Pay, using the Electronic Federal Tax Payment System (EFTPS) or with a credit or debit card.

If the extension is selected when making your payment, you won’t have to file a separate extension form and you’ll receive a confirmation number for your records.

You want to be sure there are no errors on your tax return that could end up costing you money. To avoid that, here are some strategies to ensure you get the largest refund possible in 2024:

  • Select the right filing status.
  • Don’t overlook dependent care expenses.
  • Itemize deductions when possible.
  • Contribute to a traditional IRA.
  • Max out contributions to a health savings account.
  • Claim a credit for energy-efficient home improvements.
  • Consult with a new wealth manager.

Finally, the extension is only for filing your tax return – not for paying any tax you owe. You still have to estimate the amount of tax you owe (if any) and pay that amount by April 15the extension is selected when making your payment, you won’t have to file a separate extension form,. If you don't, the IRS will charge you interest on the unpaid balance and probably tack on additional penalties for paying late.

Want to learn more about 'Advanced Tax Strategies for Retirement' with NJM? Read the blog here.