Americans who filed to have the tax extension deadline extended to Oct. 15 should ready their files now. Missing the date incurs late fees and adds interest in their payments. Fortunately, online tools are available for filing and paying tax returns electronically.
Tax day this year was extended from May 17 to October 15. Many Americans opted for a tax extension to gather their records, get professional advice and avoid mistakes in their rushed filings. However, the extension deadline is now less than a month away.
IRS offers online options for taxpayers through tax software services or their IRS2Go app.
How to File Your 2020 Tax Return Online
There are several online options for filing tax returns. However, taxpayers who have an adjusted gross income (AGI) of less than $72,000 have the advantage of using these online tools for free.
IRS Free File Option
First, tax filers must search for tax software services that best suit their needs. IRS has partnered with a number of industry leaders and listed their tax services on this website. These programs recommended are safe and secure. The companies listed are all subjected to Federal Trade Commission Privacy and Safeguards Rules and IRS e-file regulations.
IRS Free File Online: Lookup Tool
To further help tax filers, IRS uploaded the Lookup Tool to find the best tax service offers. The tool requires users to answer seven questions about their eligibility and personal information. Complete the process and apply on the recommended results.
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Free Fillable Forms
Free Fillable Forms is the only option available for taxpayers with AGI greater than $72,000. According to the IRS, Free Fillable Forms are electronic federal tax forms that let filers:
- Choose the income tax form needed
- Enter tax information online
- Electronically sign and file tax returns
- Print returns for recordkeeping
Be warned, Free Fillable Forms will close on October 20. Late filers will no longer be accepted.
IRS2Go Mobile App
For taxpayers who prefer processing their documents via smartphone, the official mobile app of IRS is available. IRS2Go offers features like Free Tax Help that directly access free tax software services and quickly prepares documents.
The mobile app also provides features like Refund Status, Make a Payment, and Login Security Codes.
What Happens If Filers Miss the Tax Extension Deadline 2021?
Citizens who fail to submit their tax returns will encounter penalties. According to Cnet, taxpayers who wait too long risks losing tax refund money. Payments like stimulus checks and child tax credit payments would also be withheld.
Also, keep in mind that the October tax extension does not apply to tax payments. IRS required filers to pay at least 90% of their tax liabilities last May 17. Late filers and non-payers accrued interests and penalties with their income taxes. The late-payment penalty is charged 0.5% per month of the outstanding tax not paid, maxing out at 25%.
Pick one of the four available options for tax filing and comply to the requirements before the deadline!
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