Everything you need to know about filing a tax extension

Pexels photo
Pexels photo

If you already anticipate needing some extra time to file your federal tax return, there’s some good news. You can always file for an extension.

However, there are some things to know: “Please be aware that an extension of time to file your return does not grant you any extension of time to pay your taxes,” the Internal Revenue Service’s website reads.

So, what link should I use to e-file an extension form?

If you’re filing individually, this is the one you want. It’s free to use.

Otherwise …

There are a whole slew of options and forms to fill out, depending on whether you’re a person or a business, and your specific filing status. Go to this website to find the link(s) most applicable to you.

The bottom line

While it might seem easier to file for an extension -- and depending on your circumstances, maybe you’ll have to -- don’t just look at this option as a way to buy some time. Only do this if you really have to. You still have to pay now, or you’ll risk the IRS coming after you (although that doesn’t happen for quite some time), or having to pay a bunch of interest.

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