E-Filing & Extension Filing
E-Filing
- E-Filing is when you electronically submit your income tax return online for a particular year. By doing this, you no longer need to visit the nearest Income Tax Department office to file your returns. The E-File option facilitates the submission of tax returns and the processing of refunds quickly.
Extension Filing
- Extension filing is an exemption that can be made to either individual taxpayers or businesses that are unable to file a tax return to the federal government by the due date. However, the extension of time to file does not provide a corresponding extension for payment of taxes owed. An explanation of the reason for the extension is not required. Taxpayers who cannot pay their taxes will not only not gain anything by not filing an extension, they will also pay a much greater penalty than those who file and cannot pay. The failure-to-file penalty is usually 5% of the total amount owed per month—and can go as high as 25%—while the failure-to-pay penalty is only 0.5% of the amount owed per month. It is understandable that tax payers may not file their tax returns on or before the tax due date for various reasons, but we urge them to file at least tax returns if not able to pay the entire owe amount or unable to arrange installment payment agreements with IRS. As a leading firm, with a team of tax experts, we are prepared to help any client in seeking extension of time to file tax returns and assist them in many ways to clearly understand & to help them solve their tax complications.