An amended return cannot be filed electronically and takes 8 to 12 weeks to process, whereas an extension is filed electronically by submitting IRS form 4868 using e-file software. Generally the IRS cannot extend the due date of your return for longer than 6 months.
No, you can't get an extension, but the IRS gives you plenty of time to amend a return that you filed. Generally speaking, you have 3 years from the date you filed the return (or 2 years from the date you paid the tax due on the return — whichever is later) to file an amended return.
The IRS will charge you one-half percent each month on the amount of tax you still owe after the deadline. If you fail to file a return altogether by the extension date, the IRS penalty increases to 5 percent per month, for a maximum penalty of 25 percent.
Interest is charged on any tax not paid by the due date of the original return, without regard to extensions. The IRS will compute the interest and send you a bill if you don't include it.
Why not to file an extension
"Inability to pay is the worst reason to file an extension," warns Cole. An extension gives you extra time to file, but not extra time to pay. After you file an extension, if you owe taxes when you file your return, you might also have to pay penalties and interest on the tax due.
° When to file: Generally, to claim a refund, you must file Form 1040X within three years from the date you filed your original return or within two years from the date you paid the tax, whichever is later. ° Processing time: Normal processing time for amended returns is 8 to 12 weeks.
In the past, taxpayers with updated information would need to file an amended tax return if there was a change to their return after they filed. ... The IRS also announced today that it's extending the 2020 filing deadline to May 17, 2021, so you have more time to do your taxes.
In fact, getting a tax extension can actually reduce your chances of facing an IRS audit. While no one outside the IRS can say for sure how the audit selection process works, it is safe to say that a tax extension does not do anything to trigger an audit.
If you owe on taxes and you need to file an extension, you must pay when you file your extension. Otherwise, you'll also have to pay interest and late penalties.
If you fail to file a tax return or contact the IRS, you are subject to the following: ... You'll have to pay the IRS interest of . 5% of the tax owed for each month, or part of a month, that the tax remains unpaid from the due date, until the tax is paid in full or the 25% maximum penalty is reached.
Amending won't delay your original refund. However, if you're amending to claim more money, the IRS says to wait until you've received your original refund before filing an amendment.
If the due date for filing your tax return has passed, you can submit an amended tax return to correct most mistakes. ... If you realize you made a mistake but the due date for filing hasn't passed, don't file an amended tax return. Instead, file another original tax return with your correct information.
Some amended returns take longer than 16 weeks for several reasons. Delays may occur when the return needs further review because it: Has errors.
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