Due to delays in the 2012 tax season, the IRS has announced provisions to relieve penalty and interest charges on eligible taxpayers.
IRS Press Release 2013-31, posted March 20 to IRS.gov, states the late-payment penalty will be waived on certain individuals and businesses who are requesting an extension to file because the IRS was not ready to process certain tax forms.
Although taxpayers sending in Form 4868 by April 15 are granted an automatic 6-month extension to file, the IRS still requires that payment be made by the usual April due date. Once the return is filed, any shortfall in tax results in late payment penalties and applicable interest charges.
The IRS was forced to delay the processing of certain tax forms as they readied their systems to handle tax law changes made due to the December 2012 passing of the American Taxpayer Relief Act.
Taxpayers who need more time because of these forms and attachments will not be penalized for late payment, normally 0.5 percent of the tax due, per month, until the tax balance is paid.
A complete list of the forms eligible for this relief can be found in Notice 2013-24, posted March 20 on IRS.gov.
The request for extension must be postmarked by April 15. Form 4868 can be electronically sent to the IRS. Any tax due must be paid by the legally extended due date – October 15 2013.
Comments