- March 10, 2023
The IRS tax Form 7004 is used to file automatic six-month extension time to file income returns, information returns, and business income tax with the IRS. If the taxpayer requires more time to file their business tax returns for the year, they can submit Form 7004 to the IRS. The IRs will grant an automatic six-month extension to submit the paperwork for their business tax. Filing this extension doesn’t exempt the taxpayer from paying the taxes; they still have to pay their taxes in full and on time.
What is Form 7004?
Form 7004 is a Federal Tax Extension Form. It is a simple one-page IRS tax Form that helps to file for an automatic time extension to file certain business income tax, information, and other returns. When this Form is successfully and properly filed, Form 7004 grants six months corporate tax extension to file the tax Form. Taxpayers will be granted this extension if they,
- Complete and file Form 7004 online properly.
- Make an appropriate estimate of the taxes owed by the IRS.
- File Form 7004 on or before the deadline of the tax Form on which one needs an extension
- Pay the taxes due on time. A filing extension is only for the paperwork, and the taxpayer is expected to pay taxes on time.
Who should file Form 7004?
It should be filed by taxpayers who want to file an extension on tax Forms such as Form 1065 (tax returns filed by partnerships), Form 1120 (tax returns used by C corporations), Form 1120 S (this tax Form is used by S corporations), Form 1065 (used by LLCs filing returns as partnerships). It is also used to file extensions on a number of other tax Forms as well.
What does Form 7004 not cover?
The IRS Form 7004 covers all types of business entities, except for sole proprietorships, that file their returns using Form 1040. These sole proprietorships should use Form 4868 instead to file for tax extensions. Some organization uses Form 1041-A to report charitable information. They use Form 8868 to file tax extensions instead.
How to file Form 7004?
Taxpayers will require information such as name, address, contact information of taxpayer, business entity type, total tax amount one owes, etc., to file Form 7004. Form 7004 can either be mailed to the IRS or e-filed through the e-filing system of the IRS. But those who choose to mail their 7004 tax Form should understand that it takes longer to process than the e-filed tax Forms. Mailing them too late can invite penalties and thus should be e-filed on time.
Filing this Form will earn a six months tax filing extension time. Estates and trusts that file this Form will get five and a half months extension, while C corporations are eligible for a seven-month extension.
The IRS tax Form 7004 should be filed on or before the due date of the applicable tax returns. The extension that this Form brings is automatic when properly filed, and the IRS will not contact the taxpayer to state that their application is successful. For more details on Form 7004 and to e-file these tax returns, one can contact the tax experts at Tax2efile.
