Tax extensions are given to individuals who can’t file their tax returns by the April 15 due date. Extensions give you and your accountant until October 15 to prepare an accurate return and avoid penalties.

A Guide to Arkansas Tax Extensions

How Can You Apply for an Extension?

In Arkansas, your accountant needs to file IRS form 4868 by April 15 for an extension. No reason needs to be given, and approval is automatic. You’ll have 180 extra days to file your return. By filing for a federal extension, you’re also automatically approved for an extension with the state of Arkansas. Both your state and federal tax returns will be due by October 15.  

Who Can Benefit From Them?

Extensions allow you more time to get your paperwork in order, but they don’t give you more time to pay. However, an extension can still be helpful if you owe the IRS money. Your accountant can estimate your liability and pay the amount when the extension form is filed. By paying ahead of time, you’ll avoid IRS late penalties that range between .05% and 25% of the amount owed every month.

Those who didn’t have enough time to file benefit the most from the October 15 extension. When you don’t file your tax returns on time, the IRS fines you with a failure-to-file penalty. The amount is usually between 5% and 25% of the total amount owed per month. Filing an extension avoids the penalty.

Citizens living and working outside of the United States and Puerto Rico automatically receive an extra two months to file. Those serving in the military overseas are also automatically given an extension. If you need more time, contact your accountant. They can file the 4868 form on your behalf. Since you need a further extension, your accountant will need to provide the IRS with a reason for the filing.  

If you filed for a tax extension, your deadline is October 15. To ensure your return is filed correctly and on time, reach out to The Callen Accounting Group, PLLC. Based in Mountain Home, AR, and serving the Twin Lakes area, they provide personalized service to all their clients. To make an appointment with a certified and skilled accountant, call (870) 425-6066. For a complete list of their services, including payroll and estate planning, visit their website.