A guide to filing a tax extension using Form 4868, including deadlines, payment requirements, state extension rules, and what to do after the extension is granted.
Determine if you need more time to file (missing documents, complex situations, life events)
Common reasons include: waiting for a late K-1 from a partnership (often not issued until September), dealing with a life event like a death or natural disaster, or having complex tax situations that require professional preparation. There's no penalty for filing an extension — it's a routine, accepted practice.
Understand that an extension gives you 6 extra months to file, not to pay
Form 4868 extends your filing deadline from April 15 to October 15. But any tax owed is still due by April 15. If you owe $5,000 and don't pay by April 15, interest (currently about 8% annually) and the failure-to-pay penalty (0.5% per month) start accruing immediately.
Estimate your tax liability to determine if you need to make a payment with the extension
Use last year's tax return as a starting point. If your income is roughly the same, your tax should be similar. If you expect a refund, there's no urgency to pay. If you might owe, pay an estimated amount with the extension to avoid penalties.
File Form 4868
E-file Form 4868 through tax software or IRS Free File
E-filing is the fastest method and you get instant confirmation. Most tax software includes Form 4868 as a standard feature. IRS Free File at irs.gov/freefile is available regardless of income for extensions. You'll receive a confirmation number immediately.
Alternatively, make a payment through IRS Direct Pay and select 'extension' as the payment type
Making a payment through IRS Direct Pay or EFTPS and selecting '4868' as the form type counts as filing the extension automatically. You don't need to file a separate Form 4868 if you make a payment this way. Keep the confirmation number as proof.
If mailing a paper Form 4868, send it to the correct IRS address by April 15
Paper filing is the slowest option. The form must be postmarked by April 15. Send via certified mail with return receipt for proof of timely filing. The mailing address depends on your state — check the Form 4868 instructions.
Enter your estimated tax liability and any payment amount on the form
Line 4 asks for your estimated total tax liability. Line 5 is for payments already made (withholding, estimated payments). Line 6 is the balance due. Line 7 is the amount you're paying now. Pay as much as you can — even a partial payment reduces penalties and interest.
File by April 15 (or the next business day if it falls on a weekend/holiday)
The deadline is absolute. Filing Form 4868 on April 16 means you missed it, and the failure-to-file penalty (5% per month, up to 25%) applies to your full return. If you realize on April 15 at 11 PM that you can't file, submit Form 4868 electronically — it takes 5 minutes.
Handle State Extensions
Check if your state automatically extends when you file a federal extension
About 25 states automatically grant a state extension when you file federal Form 4868. These include California, New York, Illinois, and Texas (for franchise tax). Others like Virginia and Georgia require a separate state extension form.
If required, file your state's specific extension form by the state deadline
State extension deadlines usually match the federal April 15 date, but not always. Some states have different deadlines: Virginia's is May 1. Check your state's revenue department website for the correct form and deadline.
Pay any estimated state tax owed by the state's original deadline
Like the federal extension, state extensions only extend the time to file, not to pay. Most states charge interest and penalties on unpaid balances from the original due date. Pay your estimated state liability when you file the state extension.
Manage Payments During the Extension Period
If you owe tax, pay as much as possible with the extension to reduce penalties
Paying 90% or more of your total tax liability by April 15 eliminates the failure-to-pay penalty entirely, even if you don't file until October 15. Interest still applies on unpaid amounts, but the penalty waiver saves you 0.5% per month.
Use IRS Direct Pay, EFTPS, or debit/credit card for extension payments
IRS Direct Pay is free and processes instantly from your bank account. Credit card payments incur a processing fee of about 1.85%-1.98% of the payment. EFTPS requires advance enrollment but allows scheduled future payments.
Keep records of all payments made with confirmation numbers and dates
You'll need to report extension payments on your final return. Record each payment's date, amount, and confirmation number. If you paid through IRS Direct Pay, your payment history is available online for 18 months.
File Your Return by the Extended Deadline
File your complete tax return by October 15
October 15 is an absolute deadline — there is no second extension for individuals. If you still can't file by October 15, file anyway with your best estimates. An imperfect return filed on time is better than a perfect return filed late.
Report all extension payments on your return
Payments made with Form 4868 go on Form 1040, Line 30 (other payments). If you paid through IRS Direct Pay or EFTPS, the amount should match your records. The IRS will cross-reference your reported payments against their records.
If you're owed a refund, there's no penalty for filing during the extension period
Penalties and interest only apply if you owe tax. If you're getting a refund, the only cost of using the extension is delayed receipt of your refund. You have 3 years from the original filing deadline to claim a refund, regardless of extensions.
If you owe a balance, pay the remaining amount when you file to stop interest from growing
Interest compounds daily on unpaid tax from the original April 15 deadline. On a $10,000 unpaid balance over 6 months at 8% annual interest, you'd owe roughly $400 in interest. Pay the balance immediately when filing to stop the clock.
Consider if you need to amend any estimated tax payments for the current year
Filing your prior-year return gives you actual numbers to adjust current-year estimated payments. If your actual tax was much higher or lower than expected, recalculate your quarterly estimates for the remaining quarters using the actual prior-year data.
Frequently Asked Questions
Does a tax extension give me more time to pay?
No. Form 4868 extends your filing deadline by 6 months (from April 15 to October 15), but any taxes owed are still due by April 15. If you owe and do not pay by the original deadline, you will be charged the failure-to-pay penalty of 0.5% per month on the unpaid balance, plus interest at the federal short-term rate plus 3%. However, filing an extension avoids the much steeper failure-to-file penalty of 5% per month. Paying at least 90% of your estimated tax by April 15 can minimize penalties.
How do I estimate what I owe when filing an extension?
Use your prior year tax liability as a starting point and adjust for income changes. If your income was similar, paying last year's total tax amount is a safe approach. You can also run a rough estimate using free tax calculators from the IRS or tax software companies. Line 4 of Form 4868 asks for your estimated total tax liability, and Line 7 asks for the amount you are paying. Overpaying is better than underpaying — the IRS will refund the excess when you file your completed return.
Will filing a tax extension affect my credit score?
Filing an extension itself has zero impact on your credit score. The IRS does not report extension filings to credit bureaus. However, if you owe taxes and the debt goes unpaid for an extended period, the IRS can file a federal tax lien, which does appear on your credit report and can significantly damage your score. Tax liens are filed when the IRS sends a notice of balance due and you fail to pay. This is a collections action, not a consequence of the extension filing itself.
Can I file an extension after the April 15 deadline has passed?
No. Form 4868 must be filed by April 15 (or the adjusted deadline if it falls on a weekend or holiday). After that date, the IRS will not accept an extension request. If you miss the deadline, file your return as soon as possible — the failure-to-file penalty accrues at 5% per month and caps at 25% of unpaid tax. Filing even one day late triggers the penalty for the full month. Certain exceptions apply for taxpayers in federally declared disaster zones, who receive automatic deadline extensions. Tax laws change frequently — verify current rules with the IRS or a tax professional.
Do I need to file a separate state tax extension?
It depends on your state. About half of states with income tax automatically grant a state extension when you file the federal Form 4868 — including California, New York, and Illinois. The other half require a separate state extension form filed by the state deadline. Some states with different deadlines (Virginia uses May 1, Louisiana uses May 15) have their own extension rules independent of the federal timeline. Check your state revenue department website for specific requirements and deadlines.