Have you filed your taxes yet? Taxpayers who filed for an extension during tax season must file and pay any balance due next week. The deadline for filing is fast approaching, but there is a bright spot: taxpayers get an extra day to file this year. Since the regular extension due date for federal income taxes, October 15, falls on a weekend in 2017, taxpayers have until Monday, October 16, 2017, to file.
Some taxpayers have even more time to file. Members of the military serving in a combat zone typically have until 180 days after they leave the combat zone to file their return and pay any taxes due. And this year, taxpayers on extension who live in or are affected by a federally declared disaster area may be allowed more time to file: that includes taxpayers in parts of Michigan and West Virginia as well as those affected by Hurricanes Harvey, Irma, and Maria (more from IRS.gov here).
The Internal Revenue Service (IRS) recommends that taxpayers file their tax return electronically. The IRS says that e-File is “a faster and safer way of filing your taxes.” Of the 145.3 million returns received by the IRS so far this year, approximately 87.5% were filed electronically.
You can e-file with a paid preparer or tax software, including FreeFile. FreeFile is available through the IRS website. With FreeFile, commercial partners provide free filing software for about 100 million taxpayers with incomes of $64,000 or less. According to the IRS, seven in ten of the nation’s taxpayers are eligible for IRS FreeFile.
If you are expecting a tax refund, consider direct deposit. With direct deposit, the IRS can deposit your tax refund directly into as many as three accounts. For more on refunds, click here.
If, on the other hand, you expect to owe, don’t let that deter you from filing on time: You should file a timely return even if you can’t pay your tax bill. Penalties apply for both failure to file a return and failure to pay your tax which means that you can reduce your penalty burden by filing on time even if you can’t pay. If you can’t pay what you owe by October 16, consider these options. If you’re ready to pay what you owe, here’s how to pay in full.