Do You Really Want to Extend Your Filing?

There is a lot of confusion right now about what to do with your tax returns? The IRS has granted an extension to file AND pay your personal returns. Is that the best tax strategy though? By delaying your filing you may be delaying a refund that is much needed right now. And what about state returns? Some states have agreed to delay the filing deadline but you still must pay your liability by April 15 or May 1. (UPDATE: Utah just annunced that they have extended the payment deadline to July 15. Check with your state authorities if you liv in another state.) How can you know what your liability is without perparing at least a perfuntory return? With everyone delaying the preparation of their returns until July, that will put a real workload upon a lot of CPA's that will be in the middle of preparing quarterly payroll returns in July. You may find yourself at the end of a long line. It does no harm to get your returns prepared now and if you do owe taxes to the IRS then you still have an extra 90 days to pay. And if you are concerned about going out to visit your preparer, give him or her a call. Most can accomodate the transfer of documents through a secure web portal as I do. Above all, stay healthy and be safe!

Keith