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Tax

Tax Filing 2020

As the tax season is coming to its last 30 days, the Internal Revenue Service has just delayed the April 15 tax payment deadline. You still have to file your taxes by April 15 though or file for an extension. If you file for an extension, you still have to make payment to the IRS by April 15 though. This is because to place a tax extension, you must pay your taxes when you file for an extension.

Whether you file for a tax extension or not, you can go ahead and file your 2019 taxes before the April 15 deadline. After you filed your taxes, you can make your payment but it isn’t mandated. In the latest press conference, Treasury Secretary Steven Mnuchin announced that the payment deadline is pushed 90 days further.

For this, you don’t necessarily need to do anything. The IRS will simply not charge any penalties or interests on your late payments.

So you will have time till mid-July to pay your 2019 taxes. However, not everyone is eligible for this. Only those who own less than $1 million are eligible for the delay paying. The corporations, on the other hand, will be able to postpone their tax payments if it is below $10 million.

State Tax Payments

The 90-day delay on tax payments only applies to your federal income tax returns. So you will still have to pay your state income taxes. However, you can check in with your state to see whether the tax payments are postponed or not.

California pushed the date for both filing and paying state taxes to June 15. Since this is a new thing the government is implementing and still working on, we may see more states doing the postponing payment deadlines up to 90 days.

Tax Refund Delays

If you don’t owe anything to the IRS, you will receive a tax refund. The delays on the payments have nothing to do with your tax refund. So you can go ahead and file as usual and demand your tax refund. The Internal Revenue Service is currently issuing tax refunds so you can expect to get it once it is processed.

The agency usually takes about 21 days to issue tax refunds. So don’t be afraid of getting your tax refund late.

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Deborah Ann

Deborah writes everything from federal tax law to local governments. Her writings cover a broad range of government topics. With a little bit of seriousness to the words, everything is simplified to Futufan readers.

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