Why 15th July is the deadline for tax?

tax day

It was previously supposed to be April 15, 2020, but the sudden outbreak of Covid-19 has forced the government to add some changes in the due dates of federal taxes and other deadlines.

tax day

Image courtesy: https://www.forbes.com/sites/kellyphillipserb/2020/03/11/panicked-about-tax-season-heres-how-to-file-for-extension-in-2020/#1172250f28ae

IRS has provided relief for the taxpayers just by extending the deadline of federal tax payment by 90 days. This rescheduling has hopefully have helped the number of taxpayers. Don’t forget to file your tax as soon as possible if you are expecting a refund. The only thing for enabling it are: file electronically and select the mode of direct deposition for it.

Are the tax payments have been delayed in 2020?

Yes. Federal tax returns and tax payments are supposed to be sent on or before Wednesday, July 15. If you currently owe the balance and have to make the payments yet, you will be charged no penalty for deferring your payment, and no interest will be added to accrue during this period also. It doesn’t matter at which stage you are currently staying. State governments have to follow up on the guidelines of the central government for the same. Filing up for the extension is free. But keep in mind, if you are doing that you are delaying your refund if you owed one also. Tax Day is the deadline for making your 2019 contribution to an individual retirement account.

What was the Tax Day earlier?

Tax Day earlier ways 15th April 2020 which was being extended till 15th July 2020 after the outbreak of pandemic Covid-19. A progressive income tax was being brought into existence by Congress to create a fair platform for all. The first-ever tax deadlines were March 1, 1913, which was later shifted to April 15 with time. The decision of giving an extended deadline of six weeks was being taken in 1913. After adding different deductions and credits, and more complications into the final tax pay, Congress finally pushed back the tax deadline to April 15 in 1954.

Why 15th July is the deadline for the tax?

15th July is the extended deadline for the federal taxes and tax redemptions. The decision was taken due to the outbreak of Covid-19. The announcement of lockdown in different countries have restricted the people into their boundaries. For information, no one is allowed to leave their house until it is quite necessary or a medical emergency, and that has forced the governments to reconsider the final deadline of the taxpayers.

People who are failing to pay the taxes on this date can ask for the extension but this may finally prevent them from checking out the final refunds. Don’t make a rush, we still have more than a month for finalizing the tax payments. When it comes to faster accessing, without going for a second thought, you can take the help of electronic sources and can consider your direct deposition for the same also.

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