How to File a Tax Extension (And Stop the Penalty Clock)
Running out of time? Don’t panic. You can get an automatic 6-month extension to file your taxes. But be warned: An extension to file is NOT an extension to pay. Here is how to avoid the IRS wrath.
Why You MUST File (Even If You Can’t Pay)
Many people hide from the IRS because they can’t afford the tax bill. This is a fatal mistake.
| Penalty Type | Monthly Rate | Max Cap |
|---|---|---|
| Failure to File | 5.0% | 25% |
| Failure to Pay | 0.5% | 25% |
| Interest | ~7% (Annual) | None |
| Action | Result |
|---|---|
| Ghosting IRS | Bank Account Seizure |
| Filing Extension | Payment Plan Options |
3 Ways to File Form 4868
It is free, easy, and no questions asked. You do not need to give a “reason” (like sickness) to get an extension.
Method 1: IRS Free File (Recommended)
Go to IRS.gov/FreeFile. Use any partner software to e-file Form 4868 for free. You get an instant email confirmation.
Method 2: Make a Payment (The Shortcut)
If you go to IRS Direct Pay and make a payment (even $1) selecting “Extension” as the reason, the IRS automatically processes Form 4868 for you. No paperwork needed.
Method 3: Paper Mail
Print Form 4868, fill out your Name, Address, SSN, and Estimated Tax. Mail it to the IRS address for your state (check instructions). It must be postmarked by April 15.
Warning: You Must “Estimate”
Line 4 of Form 4868 asks for “Total Tax Liability.” You cannot leave this blank or put $0 if you clearly owe money.
Pro Tip: The Safe Harbor Rule
• 90% of this year’s total tax, OR
• 100% of last year’s total tax.
If you hit these numbers via withholding or estimated payments, you are safe from penalties until Oct 15.