Get all your news in one place.
100’s of premium titles.
One app.
Start reading
The Street
The Street
TurboTax

What to Do After You've Filed an Income Tax Extension

Checking federal tax extension status

If you sent your extension in on time, it should be granted. To confirm receipt, it's easiest if you use software like TurboTax Easy Extension, since you'll get a confirmation from TurboTax within 48 hours.

Our TurboTax Live experts look out for you. Expert help your way: get help as you go, or hand your taxes off. You can talk live to tax experts online for unlimited answers and advice OR, have a dedicated tax expert do your taxes for you, so you can be confident in your tax return. Enjoy up to an additional $20 off when you get started with TurboTax Live

  • If you use the U.S. mail to send your extension, you'll have to contact the Internal Revenue Service (IRS) to ask about your extension status.
  • Currently, you can't do this on the IRS website. Call the IRS customer service number to determine if your request for an extension was received and approved.

Checking state tax extension status

If your state requires that you file an extension application separate from the federal tax extension application, you'll have to contact the taxing authorities in your state to check on its status. Call the taxpayer service number and ask the service agent whether your papers arrived on time.

Paying any tax due

The standard tax extension allows you to file your tax return after the usual deadline. However, it doesn't buy you more time to pay any taxes you may owe. That means that if you don’t pay your tax balance by the filing deadline, you'll get hit with penalties and interest.

Even if you can’t pay it all immediately, pay as much as you can. Penalties and interest are based on how much you owe and for how long.

  • Late payment penalties are calculated at 0.5% of the unpaid tax balance per month.
  • The maximum you can be charged in late payment penalties is 25% of the unpaid tax.

Maximize your deductions and get every tax break you qualify for when you file your taxes with TurboTax Deluxe. We'll search over 350 tax deductions and credits to make sure you get the maximum refund possible. Start for free, and get up to an additional $10 off TurboTax Deluxe when you file. 

For example, if your tax balance is $2,000:

  • Penalty per month = $2,000 x 0.5% = $10
  • Total possible late payment penalty = $2,000 x 25% = $500

If you know you’re going to be out of the country on tax day, there is an automatic two-month extension that allows you to hold off filing and paying taxes without penalty, but you'll still be assessed interest as of the day after the tax filing deadline.

  • Interest on unpaid tax compounds daily from the original due date of the return until the date you pay in full.
  • The rate is calculated as the federal short-term interest rate, currently .81% plus 3%.
  • Interest is applied daily, so for each day you're late, you’ll owe 0.0082% of the balance.

For example, if you owe $2,000 in taxes and don’t pay by the due date, you’ll pay:

  • .81% + 3% = 3.81% annual interest
  • 3.81% annual interest divided by 365 days = .01%
  • Penalty per day: $2,000 x 0.01% = $0.20

Note: Compounding interest results in a daily recalculation of the principal amount plus accrued interest.

Filing tax returns on time

Generally, the due date for filing your income taxes is April 15. However, in some years it can fall on a weekend or a holiday. Therefore, the tax deadline can change to April 16, 17, or even 18 depending on the situation.

If you request and are granted a federal tax extension, you typically have until October 15 to file your tax return.

  • In some states, federal extensions automatically extend your state income tax deadline.
  • Other states, like New York, require a separate extension request.

When tax extensions are rejected

Even when filed before the deadline, some tax extension requests are rejected on or after that date. You'll get notified in an email or letter from the IRS if your extension request is denied. While the reasons behind this vary, the most common ones are:

  • Misspellings, switched numbers, and other errors on the extension form
  • Out-of-date information, like old addresses or last names that don't match up to the IRS records

In these cases, the IRS provides a window of time—typically five days—in which you may fix issues and correct errors with your request in order to file again.

Remember, with TurboTax, we'll ask you simple questions about your life and help you fill out all the right tax forms. With TurboTax, you can be confident your taxes are done right, from simple to complex tax returns, no matter what your situation.

Sign up to read this article
Read news from 100’s of titles, curated specifically for you.
Already a member? Sign in here
Related Stories
Top stories on inkl right now
Our Picks
Fourteen days free
Download the app
One app. One membership.
100+ trusted global sources.