April 15th Survivor!
There are just a few days remaining for you to file your 2018 individual tax return. If you do not think you will have enough time to finish your 2018 return, the IRS will grant you an automatic, six-month extension of time to file your tax return.
Another common reason to file an extension is if you are waiting for 2018 tax documents, such as a K-1 from an S-Corporation or Limited Liability Company, to complete your return.
Caution – an extension is an extension of time to file your return. It is NOT an extension of time to pay your income taxes. If you are going to file an extension, you will need to estimate your 2018 income tax liability as if you would be filing on time. This amount should be paid in on or before April 15, 2019.
An extension is filed by completing Form 4868 on or before April 15, 2019. An extension can be mailed or filed electronically. Many states accept the federal extension as the state extension (my state of Minnesota accepts the federal extension). Some states may require a separate, state extension.
First Hurdle – March 15, 2019
I made it past the first hurdle of this tax filing season – the March 15th due date for pass-through businesses (S-corporations, partnerships, and multi-owner LLCs). Pass-through businesses are those entities that provide K1s to the owner with their share of the income and other items. The owners then use these K1 to report this information on their individual income tax returns.
I did file extensions on several 2018 business tax returns. The IRS grants an automatic six-month extension if Form 7004 is timely filed by the March 15th due date. The new due date will be September 16, 2019 (9/15/19 falls on a Sunday) for calendar year pass-through businesses.
This week is typically my busiest week of the tax filing season. 2018 tax returns for pass-through businesses are due March 15, 2019. I will be completing those returns and filing extensions as needed.
In addition, now that the 2018 brokerage statements are finally out, I am receiving individual income tax materials and working on those returns. Once I get past the March 15, 2019 business due date, I slowly begin to catch up on individual returns.
Keep checking back for additional updates.
