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Discussion Forum Index --> Basic Tax Questions --> Extension with payment vs return with payment
Discussion Forum Index --> Tax Questions --> Extension with payment vs return with payment
Natalie (talk|edits) said:
| April 15, 2008
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| We can file an extension with a payment due and the IRS will automatically take the money out of the account. But if a payment is due with the return, we have to send in the voucher via regular mail?
So what if we file an extension to make the payment and then file the return later today?
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Szptax (talk|edits) said:
| 15 April 2008
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| I think you can have the funds withdrawn electronically, although I would prefer to write a check & mail since it takes longer to process. (send return receipt!) If you file an extension & then file & pay later in the day the extension will be ignored, I think. If you are filing an extension to allow for additional time to make a retiremnet contribution I would allow time to pass between the extension & the filing. I would efile the extension if possible to have record of confirmation. Hope this helps. Happy 15th!
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Natalie (talk|edits) said:
| April 15, 2008
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| I just don't want to go to the PO today. We're not talking a lot of money here, so the float is not an issue. Just to be clear, I am thinking of doing the payment with the extension, not with the return.
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Jdugancpa (talk|edits) said:
| 15 April 2008
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| You can make an electronic payment with an efiled return. What's the problem?
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Natalie (talk|edits) said:
| April 15, 2008
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| I'm tired. The e-file instructions in Lacerte say that the 1040-V should be mailed to the IRS.
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Jdugancpa (talk|edits) said:
| 15 April 2008
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| Can't help you with Lacerte. But I'm guessing it can be done.
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CrowJD (talk|edits) said:
| 15 April 2008
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| Why go to the PO? I mean really. Mail the pmt. and voucher from the good old office or home mailbox, as long as the postman has not been around yet. I know that's heresy to some of you not to be mailing it certified. If you want an extra measure of assurance, go to the local shopping center and drop it in an official drop box, just make sure there's a pick-up scheduled after the time you drop it.
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Natalie (talk|edits) said:
| April 15, 2008
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| I'm going to e-file the extension and send the return later. Postman comes by here early, usually by 10:30 a.m. We haven't left anything in our mailbox for pickup in a loooooong time.
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Backtobeautiful (talk|edits) said:
| 15 April 2008
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| I've never filed for an extension before and owe about 11k and am confused on several issues that I have spend 2 days on the phone trying to get answers to pertaining to expenses incurred on flipping a home/starting a business. I'm debating on whether to efile for an extension with a $100 payment towards what I owe...Or should I go ahead and file the return, get some help later, and amend if it's wrong. Last thing I want is to throw up red flags for an audit. Any advice on this?
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Natalie (talk|edits) said:
| April 15, 2008
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| File an extension. Why would you want to file a return that you think is wrong?
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Natalie (talk|edits) said:
| April 15, 2008
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| Oh, and pay all the tax, and a little more than you think might be due, with the extension.
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JR1 (talk|edits) said:
| April 15, 2008
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| BtoB, get some pro help. You blew 2 days on nothing, when a pro could have answered all your questions and probably done your return in an hour.
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Natalie (talk|edits) said:
| April 15, 2008
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| Thanks Jdugan. You are correct. Now that I've had a nap, I found the answer easily. I simply missed a box that I should have checked.
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DZCPA (talk|edits) said:
| 16 April 2008
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| An extension allows the IRS 6 more months to audit you. Who wants that!
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Natalie (talk|edits) said:
| April 17, 2008
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| DZ, would you file a return you know is not correct and then amend it just so it does not have to go on extension?
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DZCPA (talk|edits) said:
| 19 April 2008
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| I only file returns that I think are correct. If I know of errors I correct them prior to filing. You can file timely returns with estimates if you think they are correct. " Ahhh how much was all that junk you donated to goodwill worth..ahh .....how about $200.aahhh....ok..I better file an extension since we do not know for sure. Come back with a listing before October 15th....OK..."
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Actionbsns (talk|edits) said:
| 20 April 2008
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| I have a client who we put on exension with an amount due at this point in time - about $4,000. BUT, there is a problem with their financials and we are pretty sure some missing expenses. When I look at their materials and supplies, they have almost no activity in the first half of the year. Since they are painters and busy all year round, that's just not likely. They were using a credit card to purchase supplies, and have misplaced the statements for the first half of the year, receipts are a mess, so they are not a viable option in lieu of the statements. Their income is about $10,000 higher than last year with materials and supplies almost two thirds of last year. The penalty for late payment on the $4,000 is fairly small, so having discussed the penalty with the client we decided to wait it out another 10 days or so until the copies of the credit card statements get here and file the extension with no payment. How would someone else have handled this? They would like to do an IRA contribution which will have to be a SEP now, but it just didn't seem to make sense tying up $4,000 at this point when there is a strong liklihood that there won't be an additional tax.
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Natalie (talk|edits) said:
| April 21, 2008
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| If there was almost no activity in the first part of the year, it sounds like revenue may be missing as well. I probably would have had them pay something with the extension. And I would have had them get credit card statements online if possible. (I think most cards go back at least one year.)
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Actionbsns (talk|edits) said:
| 21 April 2008
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| I'm pretty sure income is correct, we did a bank rec and it's in good order now. The credit card activity is the problem and they said they were unable to download the statements and had to order them. Something to do with the three digit security code being illegible on their card.
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