The extended 2019 tax filing and payment deadline is coming up on July 15. The postponement from the standard April 15 deadline was intended to provide temporary tax relief due to the COVID-19 pandemic. Taxpayers and businesses who had 2019 tax liabilities postponed from the April 15 tax deadline must plan to submit their estimated tax payments by July 15. If you owe, you can schedule multiple payments now to help ease the burden.
Here is what you need to know and do now to prepare to make your payments:
1. Separate Payments: Those who owe a 2019 income tax liability, as well as estimated tax for 2020, must make two separate payments on or by July 15, 2020. One for their 2019 income tax liability and one for their 2020 estimated tax payments. The two estimated tax payments can be combined into a single payment.
2. Schedule Payments Electronically: Electronic payments are the optimal way to pay your income tax liability. Individual taxpayers can use Direct Pay by visiting the IRS website, which allows taxpayers to make payments online from a checking or savings account for free. This system also allows you to schedule payments up to 365 days in advance. However, you may only make up to 3 payments per day using this system.
Is Filing Online a Good Idea?
Businesses should use the IRS’s Electronic Federal Tax Payment System , which allows up to five payments per day. Using this system, taxpayers can schedule payments up to 365 days in advance — Enrollment is required. and opt in to receive email notifications about their payments.
Making Tax Payments
There are also traditionally methods for making payments, such as check or money order. Visit irs.gov/payments to learn about these alternative payment options. The team at CPA Accounting & Tax Services can help you with calculations and ensuring your payments are submitted accurately.
Navigating the intricacies of the tax deadline extension can be difficult. Contact the professionals at CPA Accounting & Tax Services to help guide you through tax season and beyond. We specialize in Business Accounting Services, Individual Tax Services, International Tax Services and Tax Resolution Services. We have offices in Orlando, Florida and service clients worldwide. Find out how we can serve all of your accounting needs by contacting us today: www.cpaaccounting.biz