Tax Extensions: A Good Idea in a Bad Economy |
Despite the promise of change on the horizon, 2009 is shaping up to be a rough year for Americans. In an economy like this, every little bit helps. Here are a few little bits that a tax extension might turn up for you this year.
- You can take extra time to make sure you've filed for every deduction you're eligible for. In rough economic times, you've got to hang on to every penny you can. Ensure that you're filing the most advantageous tax return possible, and take the time to do it right.
- It's sad but true: whether you file for an extension or not, your tax payment is still due by April 15 (or March 15 for businesses). However, it might turn out that the government's late-payment fee is lower than the interest you're paying on other debt. If you file a tax extension, you won't be paying interest on your tax liability for six months–and you might be able to use that cash in hand for even more pressing matters.
- President Obama is changing up the tax code already! Though most deductions will probably go into effect before April 15, why not give yourself all the time you need to take advantage of new deductions? Waiting won't hurt you a bit–and it could help you a whole lot.
- You've probably already got an awful lot on your plate without having to file taxes right now. Give yourself a breather, and some extra time to get your tax return done right.
- Like many Americans, you may have gone through a major life change–a lost or different job, a change in 'head of household' status, more medical expenses–the list goes on. You might need extra time this year to file the most appropriate return for your new tax status. The same is true for many business owners who may have shrunk the size of their workforce–or had to liquidate.
Things are looking tough this year. Why not make things a bit easier on yourself and file a tax extension online? |
