July 15 is the ‘new’ April 15 for 2020…
You must file and pay your taxes by July 15, 2020.
Taxpayers who need more time can request an extension on the IRS website. That will give them until Oct. 15 to file. However, an extension to file does not mean added time to pay. So those planning on filing later should estimate what they owe and make that payment by July 15.
I CAN’T PAY NOW, WHAT DO I DO?
Go ahead and file your taxes, even if you cannot pay.
The IRS is willing to set up payment plans or make other arrangements with taxpayers who cannot pay in full. Many of those can be set up online. And the penalty for failure to file will be much more expensive than the failure to pay.
WHAT ABOUT REFUNDS?
The IRS is still processing and issuing refunds, most within 21 days.
Those getting refunds will be paid interest, dating back to April 15, if they file on time. The interest rate is 5% per year through June 30.
I DON’T WANT TO GO TO ANYWHERE. CAN I DO THIS ONLINE?
Yes, you can file or pay your taxes online. The IRS urges taxpayers to use electronic options to support social distancing and speed the processing of returns, refunds or payments.
WHAT ABOUT ESTIMATED TAXES?
Taxpayers who make estimated quarterly tax payments have until July 15 to make the payments for the first and second quarter.
There are a host of other tax deadlines linked to July 15.
One worth noting is that July 15 is also the deadline to claim a refund for 2016 tax returns.
An estimated $1.5 billion refunds for 2016 are sitting unclaimed because people failed to file tax returns. The law provides a three-year window of opportunity to claim a refund. But if taxpayers do not file a return within that time, the money becomes property of the Treasury. There is no penalty to file a later return if a refund is due.
It’s also a good time to check in with a tax professional if you have had a major shift in income, employment or other tax situations in 2020. With all the changes stemming from the COVID-19 pandemic, there may be need for added help when it comes to taxes.
VERSE: “Let everything that has breath praise the LORD” Psalm 150
QUOTE: “A person who loves his job, will never work a day in his life.”
MON-SAT 6A-10A(& Sunday@5 host)
Latest posts by Verne Hill (see all)
- S@5: “Strength for the Cancer Journey” Debbie Barr - August 7, 2020
- REMOTE LEARNING CAMP @ Camp Merriwood - August 7, 2020
- Friday News, August 07, 2020 - August 7, 2020