If you’re staring down the April 15 tax deadline and realizing you’re not quite ready, you’re far from alone. Millions of Americans each year find themselves rushing to file — or needing just a little more time. The good news? You can get an extension and avoid costly IRS penalties — if you act quickly and follow the right steps.
Avoid IRS Penalties and Get an Extension Safely
| Topic | Details |
|---|---|
| Deadline for Filing 2024 Taxes | April 15, 2025 |
| Automatic Filing Extension | File IRS Form 4868 by April 15 to extend deadline to October 15 |
| Tax Payment Still Due | Taxes owed must be paid by April 15, even with an extension |
| Penalties for Late Filing | 5% of unpaid tax per month (max 25%) |
| Penalties for Late Payment | 0.5% per month of unpaid tax (max 25%) |
| Where to File an Extension | IRS Free File Tool |
| Interest Charged | Yes, interest starts accruing after April 15 on unpaid amounts |
| Disaster Relief Extension | Automatically applies in federally declared disaster zones |
| Payment Plan Options | Installment Agreement, Offer in Compromise available |
| Official IRS Website | irs.gov |
If you’re running behind on your 2024 taxes, don’t panic — just act fast. Filing a Form 4868 by April 15, 2025, gives you more time to organize your finances and avoid unnecessary stress. But don’t delay your payment, or you could be hit with steep penalties and growing interest. Whether you’re an individual, freelancer, or business owner, these simple steps can help you stay on the IRS’s good side and protect your wallet in the process.
Why Filing by April 15 Matters (Even If You Can’t Pay)
The IRS deadline for filing your 2024 federal tax return is Monday, April 15, 2025. Missing this deadline without proper action can lead to significant penalties and interest — even if you’re due a refund.
Contrary to what many believe, you don’t need to finish your entire tax return to avoid penalties. You just need to file a Form 4868, which gives you six extra months to finish the paperwork — until October 15, 2025. But remember: an extension to file is not an extension to pay. If you owe taxes, that amount is still due by April 15.
see also: Widowed at 57: What Social Security Benefits Could You Receive?
How to File for a Tax Extension in 3 Easy Steps
Let’s break it down.
Step 1 – Estimate Your Tax Liability
Even if you haven’t finalized your return, use your income records (W-2s, 1099s, deductions) to estimate your tax bill. Tax software like TurboTax, H&R Block, or the IRS Free File tool can help you generate rough numbers.
Pro Tip: Overestimating slightly is safer. You can always get a refund if you overpay.
Step 2 – Submit Form 4868
To officially request a six-month filing extension, submit IRS Form 4868. There are three simple ways:
- Online via IRS Free File: If your adjusted gross income (AGI) is $84,000 or less, file for free on the IRS Free File platform.
- E-File via Tax Software: Popular tax filing tools (like TurboTax, FreeTaxUSA, etc.) offer built-in Form 4868 options.
- Mail it: Download Form 4868 PDF, fill it out, and mail it to the appropriate IRS address (listed in the instructions).
Step 3 – Pay What You Owe
Even if you don’t have all your forms ready, submit an estimated payment by April 15. You can do this:
- Directly from your bank account using Direct Pay
- With a credit or debit card (fees apply)
- Through the Electronic Federal Tax Payment System (EFTPS)
What Happens If You Miss the Deadline Without Filing or Paying
Failing to file or pay by April 15 can trigger two separate penalties:
1. Failure-to-File Penalty
- 5% of your unpaid tax per month, up to 25%
- Minimum penalty: $525 or 100% of your tax owed (whichever is less), if over 60 days late
2. Failure-to-Pay Penalty
- 0.5% of your unpaid tax per month, up to 25%
These penalties stack — but if both apply in one month, the failure-to-file penalty is reduced by the failure-to-pay penalty.
3. Interest Charges
In addition to penalties, daily interest accrues on unpaid balances. The IRS adjusts interest rates quarterly. As of early 2025, the rate is 8% annually, compounded daily.
What If You Can’t Pay Your Tax Bill?
Even if you can’t pay your full balance, you still have options — and acting early can reduce penalties.
1. Apply for a Payment Plan
The IRS offers short-term (180 days or less) and long-term installment agreements. You can apply online using the IRS Online Payment Agreement tool.
2. Request an Offer in Compromise
If you truly can’t afford to pay, you may qualify to settle for less than the full amount. Use the Offer in Compromise Pre-Qualifier to see if you’re eligible.
3. Temporarily Delay Collection
You can request a Currently Not Collectible status if paying taxes would create financial hardship. This doesn’t erase the debt, but it stops IRS collection actions temporarily.
Disaster Relief May Extend Your Deadline Automatically
If you live in a federally declared disaster area, you might already qualify for an automatic extension to file and pay.
Example:
Taxpayers in parts of California, Florida, and Louisiana affected by 2024 disasters have extended deadlines ranging from May 1 to November 3, 2025. Check your eligibility on the official IRS Disaster Relief page.
Special Note for Self-Employed and Business Owners
If you’re self-employed or run a small business, don’t forget:
- Quarterly estimated taxes for Q1 of 2025 are also due on April 15, 2025
- Failing to file may delay business-related credits, such as the Qualified Business Income Deduction (QBI) or home office deduction
A missed deadline can hurt your business cash flow and financial planning.
see also: Your Tax Refund Might Shrink! 3 Ways the IRS Can Reduce It Without Warning
Avoid IRS Penalties and Get an Extension Safely FAQs
Q1. Do I still need to pay if I file for an extension?
Yes. An extension only applies to filing — your estimated taxes are still due by April 15.
Q2. Can I still get a refund if I file late?
Yes, but only if you file within three years of the original deadline. After that, the IRS keeps the money.
Q3. What happens if I make a mistake in my tax estimate?
If you overestimate, you’ll get a refund. If you underestimate, you may owe additional penalties and interest.
Q4. Will filing an extension increase my audit risk?
No. Filing an extension does not increase your chances of an audit, according to tax experts.
Q5. Can I cancel my extension after filing Form 4868?
You can simply file your return earlier if ready. There’s no need to cancel the extension.
