When a tax deadline approaches, there is a natural tendency to be anxious about filing vs extensions!
 
The first thing you should know is that our team will always recommend what is most beneficial for YOUR specific situation.  We will never rush a filing because a lender wants it.  That is not the right thing to do (sorry all your lenders 🙂) as we are ultimately responsible for helping you achieve the most accurate and beneficial results.

With the increasing complexity of the tax code (now 85,000 pages), taxpayers and tax professionals alike are finding it more difficult to meet the annual tax filing deadline.
 
We want to remind you that income tax extensions can be particularly beneficial for complex business owners.
Extensions provide you with up to six additional months to prepare and file, helping to avoid errors and omissions. Extending the deadline can relieve some of this pressure, allowing more time to accurately prepare and file tax returns.

In addition, extending the deadline can increase your deductions by allowing more time to gather necessary documentation and identify additional deductions that may have been missed in the initial preparation.

1. An Extension is not a late filing.  An extension gives you 6 months to file.

2. An Extension is not an Extension to Pay.  We provide estimates to pay the balance due.

3. Lenders do not drive the bus!  Never let a 3rd party, non CPA dictate when you file a tax return.  

   1. If a lender suggests you file a return then amend, this is fraud!  We’ve heard some crazy ideas over the years. 

4. Extensions are common - 55% of our clients file extensions and 20% of the general public files extensions

5. Audit Risk DECREASES, not increases

6. Safe Harbor Payments: This will help ensure that you are meeting the IRS's requirements to pay at least 90% of their current year tax liability or 110% of their prior year tax liability, whichever is smaller.  When in doubt, we fall back to this rule to avoid estimated tax penalties (which is really interest disguised as a penalty).