IRS Delays Tax Deadline for Individuals to May 17th

IRS Delays Tax Deadline for Individuals to May 17th

When is the tax deadline?

IRS Delays Tax Deadline for Individuals to May 17th

The IRS will push back the April 15 tax return due date for one month to May 17. This will give taxpayers additional time to file their 2020 tax returns and pay any amounts owed to the IRS on those returns.

Individual taxpayers can postpone their 2020 federal income tax payments due on April 15, 2021, to May 17, 2021, without penalties or interest, including taxpayers who pay self-employment taxes.

Individual taxpayers do not need to file any forms or call the IRS to qualify for this extension. Individuals who need additional time beyond the May 17 deadline can request an extension until October 17.

This relief does not apply to estimated tax payments that are due on April 15, 2021. These payments are still due on April 15. Taxes must be paid as taxpayers earn or receive income during the year, either through withholding or estimated tax payments.

In general, estimated tax payments are made quarterly to the IRS by people whose income isn’t subject to income tax withholding, including self-employment income, interest, dividends, alimony, or rental income.

State Tax Returns

This deadline postponement only applies to individual federal income tax returns and tax payments otherwise due on April 15, 2021, not state tax payments or deposits, or payments of any other type of federal tax. Whether the states will follow the IRS deadline extension is still unclear; we will keep you apprised as the situation unfolds.

NOTE: This extension does not apply to other taxes such as corporate taxes and trust taxes.

What is Your Capital Gains Tax Rate?

This is for informational purposes only. Please speak to a qualified tax representative about your personal tax situation. Investment advisory services offered through Cornerstone Wealth Group, LLC dba Cornerstone Wealth, an SEC-registered investment adviser.