Tax Filing Deadline Approaches: What You Need to Know
The deadline for filing 2025 tax returns is fast approaching—Wednesday, April 15th. Millions of taxpayers are gearing up to submit their returns, and likely, many will opt for an extension.
If you find you need more time, it’s possible to request an extension before April 15 by simply filling out an online form. This extension, should it be granted, will push the filing deadline to October 15. But keep in mind, penalties for late filing are pretty steep—5% of any unpaid tax will accrue for each month you delay, capping out at 25% of the total owed. And, if you don’t pay up, additional fines could come your way.
It’s important to note that requesting a tax extension only gives you more time to file your return; it doesn’t extend the time to pay what you owe. To avoid penalties, payments must be made when the extension is requested.
Beware of Tax Scams
As the filing deadline nears, the IRS has issued warnings about potential tax scams. It’s wise to stay alert. If, for whatever reason, you’re expecting a refund, remember: you have until three years after your initial filing date to claim it, and there won’t be any penalties for late filing in that case.
If you have a balance due but can’t pay it all by April 15, it’s better to pay what you can and apply for a payment plan, which some people might know as an installment plan. According to the IRS, most who apply will get an immediate response regarding their approval or denial without needing to call or send a letter.
Average Tax Refund on the Rise
Interestingly, the average tax refund amount has surged nearly 11% compared to last year, according to IRS data.
There are a few straightforward ways to request an extension. If you pay your owed taxes online via the IRS website, you can select “extend” as your reason for payment. That’ll give you a confirmation number for your records without the hassle of filling out additional forms.
Everyone, regardless of income, can request a no-cost extension through the IRS Free File program, but keep in mind there are some limitations. Alternatively, you can file Form 4868, which automatically extends the deadline. This form can be submitted by mail, through an IRS e-filing partner, or via your tax professional.
Just a heads up: when you file for an extension, you need to estimate your tax owed and deduct any payments you’ve already made to find out what’s still outstanding.
Special Considerations for Certain Taxpayers
Some individuals, like public servants or those in combat zones, might need a little extra time to file. Those living in certain hazardous areas or affected by specific disasters are also included in this. And good news—the IRS generally extends filing deadlines for taxpayers in such regions.
If you think you might qualify for this relief, just remember that the IRS will usually identify affected taxpayers, but if you live outside of the disaster area and are still impacted, it’s worth reaching out to the IRS for possible assistance.
