Updates on the July 15th Tax Deadline

This Wednesday July 15th, 2020, marks the official end of tax season. I thought that this one would never end. We are getting a lot of questions in reference to the deadline, so please allow me to answer a few of them.
If you were one of my regular clients back in April, your returns were extended. You don’t need to call us to ask. A copy of all of the business and personal extensions were sent to you months ago.
The only thing that an extension does is to extend the due date of the actual return. It does not extend the due date of any money that was owed. Those are two completely different things. If your return was extended and you end up owing money on it, you may be charged with a failure to pay penalty.
You can still make an extension payment prior to July 15th. This will either fully or partially, depending on your circumstances, eliminate or reduce a failure to pay penalty. Please go to the EFTPS System to make your payments. They must be made prior to the deadline, for them to count.
If you would like to discuss how much should be deposited, please contact our offices today.
Federal Income Tax Return Deadlines
Personal Returns, C-Corps, S-Corps, Estates, and Trusts are now due July 15th. If an extension was filed, then the new due date is October 15th, 2020.
Federal Estimated Tax Deposit Deadlines
The first two quarters were extended to July 15th.
1st Quarter – July 15, 2020 (extended from April 15th)
2nd Quarter – July 15, 2020 (extended from June 15th)
3rd Quarter – September 15, 2020
4th Quarter – January 15, 2021
If your deposits are not made timely, you will be subject to an estimated tax deposit penalty. Let’s also remember that just because you make your tax deposits does not mean that you will automatically receive a refund. Things change. 2019 will probably be a lot different than 2020.
If you have questions in this regard, please contact us today.
Federal Quarterly Payroll Tax Deadlines
These are often confused with the estimated tax deposit deadlines. When we talk about Payroll Taxes, we are discussing your Federal 941, 940, W-2’s and W-3. None of these deadlines have changed.
Quarterly estimated tax deposits are the deposits necessary for your personal income tax returns.
Illinois Deadlines
Illinois has followed the federal changes in every case except the following…
– 1065 Partnership Return Due Dates did not change at the state level. They were still due on April 15, 2020.
– Illinois did not extend the due date on payments for any extended returns. If you originally had an April 15th due date, then your payments were due April 15th rather than the extended due date of July 15th.
– Quarterly Estimated Tax Deposits for income tax were not changed. Those deposit dates are still April 15, June 15 for the first and second quarters of 2020.
For Newer Clients
If you became one of our clients after April 15th and would like for us to extend your returns, please contact us today.
If you have any questions, as always, don’t hesitate to call.
Let me leave you with this one thought…
In the midst of the worst epidemic of our times, we have been able to enjoy an absolutely beautiful Chicago summer.
Most mornings, I’ll wake up, make a pot of coffee, and go into my backyard to read. I’m currently in the middle of a Clive Cussler Novel named Medusa about a Covid Virus Outbreak.
Julie and I will sit there listening to the symphony of wildlife as our neighborhood awakens. A Cardinal sings a soliloquy in a willow tree as a mischievous squirrel hops my fence to enjoy a couple of raspberries from my yard. And it’s beautiful. It’s simply gorgeous.
After a while, we’ll put some Coltrane on Spotify and hop into the hot tub for a quick dip. As the sun rises in the east, we bathe in the gentle breezes as one of the rabbits from my neighbor’s yard jumps the fence to nose around.
Normally this beauty is abruptly interrupted by landscapers that just have to start the whir of their motors at seven am.
I share this with you today, to encourage you to devise your own coping mechanisms. Summers don’t last forever. Do whatever you can to enjoy it.
But most of all, take care of yourself. We’re going to be in the middle of this mess for a while.
Accounting Solutions Ltd. stands ready to complete its mission and purpose of protecting you, your family, and your business. If there is anything that you need, whether you are a current client or not, we stand ready to help. I’m here and I remain,
Sincerely yours,
Chris Amundson
Accounting Solutions Ltd.
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