Tax Day 2024 — How to File an Extension, What It Actually Buys You
What This Video Covers
Tax Day is next week — but filing your return is not your only option. If you are not ready, you can file an extension and push the return deadline to October. What you cannot push is the payment. This video explains exactly how extensions work, what they do and do not give you, how to estimate what you owe, and how to avoid the penalties that catch procrastinators who did not read the fine print.
Key topics addressed include:
- What a tax filing extension actually is — and what it is not
- How to file Form 4868 and what the October deadline gives you
- Why the extension extends the filing deadline but not the payment deadline
- How to estimate your tax liability when your return is not yet complete
- Penalties and interest for underpayment — what they cost and how to avoid them
- When a zero-liability return is a legitimate position — and when it is not
- State extension rules and why federal and state deadlines are separate
- Who benefits most from filing an extension and how to use the extra time well
Why This Matters
An extension is one of the most misunderstood tools in the tax calendar. Most taxpayers think of it as permission to ignore the April deadline entirely. It is not. What Form 4868 gives you is an automatic six-month extension of the deadline to file your return — moving it from mid-April to mid-October. What it does not give you is additional time to pay the tax you owe.
That obligation does not move. If you owe tax and do not pay it by the original April deadline, interest begins accruing immediately and a failure-to-pay penalty starts running at 0.5% per month on the unpaid balance.
About the Presenter
Benjamin A. Goldburd, Esq.
Goldburd McCone LLP
Benjamin brings focused experience in IRS collection defense, including lien and levy disputes, CDP hearings and negotiated resolutions. Our team’s combined backgrounds in accounting, business and wealth management ensure that enforcement responses account for the full scope of a client’s financial position.
Frequently Asked Questions About the IRS Fresh Start Program
How do I file a tax extension?
File Form 4868 (Application for Automatic Extension of Time to File U.S. Individual Income Tax Return) by the April filing deadline. The extension is automatic — the IRS does not require you to explain why you need more time, and there is no approval process. Filing Form 4868 by the deadline moves your return due date to October 15.
What if I genuinely owe nothing — do I still need to file an extension?
If your actual tax liability is zero and you have documentation supporting that position, you do not need to pay anything with your extension. But the position has to be accurate. The IRS receives income information from employers, financial institutions and other payers. If your records show income that would generate a tax liability, a zero-liability claim that is inconsistent with that information will generate a notice and a proposed deficiency. Filing a zero-liability extension without a genuine basis for that position does not buy you anything — it only delays the inevitable and adds interest to whatever you actually owe.
Do I need to file a separate extension for my state taxes?
In most cases, yes. State tax filing deadlines and extension rules vary by state. Some states automatically grant an extension if you file a federal extension. Others require a separate state extension form. A few states have different deadlines than the federal April date. If you have state filing obligations — which most taxpayers do — check your state’s specific rules rather than assuming the federal extension covers both.