Business Tax Extension Form
The internal revenue service has recently been taking steps to cut down on clutter and streamline the tax filing process. Now they’ve simplified business tax return extensions.
In past years, some businesses had to go through a lot of paperwork to file request for extensions to file annual business tax returns. This included filing partial extension forms such as forms 8800, 8736, 7004 and 2758. I get a headache just thinking about it. Apparently, IRS agents got one as well and have decided to do something about.
Need Help with Tax Debt
Problems?
Click Here To Talk to a Tax
Expert
The internal revenue service has announced it is doing away with all the different forms for filing requests for an extension to file business tax returns. Now, all businesses can use one form to get an automatic six month extension. Form 7004 is the document you will need. It is entitled Application for Automatic 6 Month Extension to File Certain Business Income Tax, Information and Other Returns. Okay, so the IRS hasn’t figured out short titles. This is still a positive step in reducing the morass of forms typically required to get extensions.
To use Form 7004 to get an extension, you must file it by the date the tax return filing is due. You are then automatically given a six month extension to file the return. Importantly, the extension is only for the filing of the return, not the payment of any tax due. If you owe tax, you still have to the amount due by the original filing period. Failure to do so will lead to penalties and interest being applied to the amount you owe when you finally get around to taking care of the tax returns.
Need Help with Tax Debt
Problems?
Click Here To Talk to a Tax
Expert
End of the World?
The IRS has spent years trying to modernize. As you’ve probably heard, it hasn’t been going all that well. While progress is slow, the agency is making progress and the above effort to reduce the burden on taxpayers is one example. It may not be a big one, but we have to take what we can get!