Anybody else regularly file a tax extension due to delayed K-1s etc? It feels like I'm doing my taxes twice every time I file an extension. However, I've been able to catch tax filing errors or omissions each time, which is good for the long run.
Yup... definitely agree with you. Just sent in revised tax returns for previous years, and just starting to go through my tax return for last year. Hoping for a simpler 2018 process next year but something tells me my return won't fit on a postcard. However, i'd settle for a USPS flat rate envelope vs. a large flat rate box.
I'm about an October 5th filer. The K1's were just completed (returns signed) end of August. We have two businesses that are S corps, and all that flows into our personal return.
Late filing is good. An entity is less likely to get audited if they file an extension.
Quote from: PDXOregon on September 10, 2018, 06:58:28 PM
Late filing is good. An entity is less likely to get audited if they file an extension.
That's what I read since they already "filled their audit quota" with the normal filers. But I donno if that's true, since I've got to imagine huge tax payers tend to file an extension too.
I agree with the idea that high income filers often wait, and I'm sure some part of the quota is saved for us. But I have more time to make sure I have everything correct and documented. I usually am within 10% or less after 4/15 of having paid what I owe, but the extra time for prep and review gives the CPA firm and I time to check and double check. Every little bit we find reduces that tax due, which reduces the penalty. I found a 1400 miss from the cpa (error in moving an item from S corp to K1 to personal) which saved me $1000 in taxes (fed) and made state go from owe to having a small credit applied. It was worth more than the small penalty for paying the under/over after 4/15. We withhold, we don't estimate fyi.
Its my dream to file on time, its never happened in my adult life (K1's)