Tax Prep tips for clients filing extensions

Many people are under the misconception that filing a tax extension will allow for a delay in having to pay tax liability.  This is not the case!  An extension simply allows a 6 month stay in having to submit a completed tax return.  An estimated tax payment must be submitted along with the extension filing for the late filing penalty to be waived.  The form for filing an extension is IRS form 4868, and can be submitted electronically.