On Extension? What to Do Before the October 15 Deadline

On Extension? What to Do Before the October 15 Deadline

If you filed Form 4868 in the spring, your individual return is due Thursday, October 15. Extended S-corp and partnership returns came due September 15. Here is the part extension filers most often misunderstand: the extension moved your filing deadline, not your payment deadline. Any tax you owed has been accruing interest and late-payment penalties since April - and both stop only when the balance is paid.

Why finishing in August or September beats October

• Every month costs money if you owe. The failure-to-pay penalty adds 0.5% per month plus daily interest. Filing now instead of mid-October simply cuts the meter off sooner.
• There is no second extension. October 15 is final. Miss it and the much larger failure-to-file penalty (5% per month) starts, calculated from the original April deadline.
• Problems found in October are unfixable; problems found now are chores. A missing 1099, an unreconciled business account, or a K-1 that never arrived is a quick fix in August and a crisis the week of the deadline.
• If you are owed a refund, you are just lending it out. No penalty applies, but there is no reason to leave your own money with the IRS for two more months.

Your pre-October checklist

1. Confirm every income document is in hand: W-2s, all 1099s, K-1s from any partnership or S-corp, brokerage statements.
2. Reconcile business books through December of the tax year - bank accounts, credit cards, and payroll totals.
3. Pull together deduction support: mortgage interest, property tax, charitable receipts, HSA and retirement contributions.
4. If you expect a balance, decide the payment plan now - pay in full, or set up an installment agreement when the return is filed.
5. Check Georgia: the state honors your federal extension for filing, but any Georgia balance has also been accruing penalties since the spring. Both returns should be finished together.

Extension filers are our specialty in the fall

September and early October are dedicated extension season at our office. Send your documents through the secure upload portal or use the intake forms, and our Enrolled Agents will prepare the return, calculate any remaining balance with penalties to date, and file both federal and Georgia returns - usually well before the deadline crush.

If you have not started, start this week. Contact us or call (706) 677-2700 - extension returns delivered to us by late September are comfortably done before October 15.