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From: George Dimov <george@dimovtax.com>
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 Content preview:  Hi Everyone, Now that we are close to the initial deadline,
    let’s go over some common extension myths. Myth: If I extend, my return
    is considered “late” 
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Hi Everyone,

Now that we are close to the initial deadline, let=E2=80=99s go over some
common extension myths.

Myth: If I extend, my return is considered =E2=80=9Clate=E2=80=9D

False. Even the IRS form itself is titled =E2=80=9CAutomatic Extension.=E2=
=80=9D
The IRS uses a 2-deadline system, allowing most taxpayers to file
in Oct if they choose. The fact that it is automatic is literally
in the name of the form!

Myth: I will be penalized for extending

False: The extension process is entirely penalty-free for both
the IRS and any of the 43 US states that tax income. One caveat:
if you owe, you must prepay an estimate.

Myth: The IRS hates extensions

False: The IRS is inundated with work later in the Jan-Apr
season. Their systems are based on COBOL, a legacy platform, and
are =E2=80=9Ctaped and glued=E2=80=9D together. The agents & reps themselve=
s are
overwhelmed and would love to spread out the volume.

Myth: Extensions are rare

False: Some taxpayers mistakenly believe that filing for an
extension is uncommon or suggests a problem with their taxes. In
reality, over 19 million taxpayers file for extensions each year.
Many of the most financially successful or savvy taxpayers extend
each year. I personally extend first thing January, and most of
my own CPA team extends their own taxes.

Myth: I am giving an interest-free loan to the government when I
make my estimated payment. I can make a far better return on my
money through my investments.

Truth: First off, settle down, Warren Buffet =F0=9F=99=82 Please note that
even the best fund managers, money managers, traders, and
speculators routinely file extensions. Why?

* Because many of the most financially successful people tend to
have complex returns, such as investments in private business
interests, which make extensions required.
* Just a note: Although you do have to wait for a refund, please
note that the IRS does, in fact, pay you interest if there are
delays of over 45 days on their end.

Myth: I will have to wait longer for my refund

Reality: This is partially correct and partially untrue. If you
rush through your return to meet this arbitrary April 15th
initial deadline & you make mistakes, you risk having to wait far
longer if your return is selected for review. Remember, rushed
work leads to rushed results, even if you are using a
professional preparer.

This is why the best CPAs will have a cutoff date anywhere
between Feb 15th and March 31st, putting later-season returns on
extension: because they care about work quality. I would be
concerned if any professional is taking unextended work too late
in the season.

Myth: Extending increases my chances of an audit

False: Extended returns are less likely to be audited. This is
because the IRS pulls returns for audit as the season starts.
Later in the season, the audit department increasingly hits
capacity. So, the standards for selecting returns for audits
becomes increasingly higher, meaning that later-season returns
are far less likely to be selected & are often selected only
where the underreporting appears to be egregious.

For help with filing an extension, questions about the process,
or really any tax or accounting assistance, please hit =E2=80=9Creply.=E2=
=80=9D

--

George Dimov CPA

www.dimovtax.com

(833) 829-1120 toll free

=E2=80=8B
=E2=80=8B

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  <!-- Content Placeholder -->
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uto"><tbody><tr><td>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">Hi Everyone,</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">Now that we are close to the initial deadline, let=E2=80=99s go over some=
 common extension myths. </p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth: </strong>If I extend, my return is considered =E2=80=9Clate=
=E2=80=9D</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>False.</strong> Even the IRS form itself is titled =E2=80=9CAutom=
atic Extension.=E2=80=9D The IRS uses a 2-deadline system, allowing most ta=
xpayers to file in Oct if they choose. The fact that it is automatic is lit=
erally in the name of the form!</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth:</strong> I will be penalized for extending</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>False</strong>: The extension process is entirely <strong>penalty=
-free</strong> for both the IRS and any of the 43 US states that tax income=
. One caveat: if you owe, <strong>you must prepay an estimate</strong>.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth:</strong> The IRS hates extensions</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>False:</strong> The IRS is inundated with work later in the Jan-A=
pr season. Their systems are based on COBOL, a legacy platform, and are =E2=
=80=9Ctaped and glued=E2=80=9D together. The agents &amp; reps themselves a=
re overwhelmed and would love to spread out the volume.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth: </strong>Extensions are rare</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>False:</strong> Some taxpayers mistakenly believe that filing for=
 an extension is uncommon or suggests a problem with their taxes. In realit=
y, <strong>over 19 million taxpayers file for extensions each year</strong>=
. Many of the most financially successful or savvy taxpayers extend each ye=
ar. I personally extend first thing January, and most of my own CPA team ex=
tends their own taxes.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth:</strong> I am giving an interest-free loan to the governmen=
t when I make my estimated payment. I can make a far better return on my mo=
ney through my investments.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Truth: </strong>First off, settle down, Warren Buffet =F0=9F=99=
=82 Please note that even the best fund managers, money managers, traders, =
and speculators routinely file extensions. Why?</p>
<ul class=3D"unordered_list" style=3D"margin-bottom:1.2em;line-height:1.5em=
;font-size:16px">
<li class=3D"list_item" style=3D"margin-bottom:1.2em;line-height:1.5em;font=
-size:16px"><span>Because many of the most financially successful people te=
nd to have complex returns, such as investments in private business interes=
ts, which make extensions <strong>required</strong>.</span></li>
<li class=3D"list_item" style=3D"margin-bottom:1.2em;line-height:1.5em;font=
-size:16px"><span>Just a note: Although you do have to wait for a refund, p=
lease note that the IRS <strong>does, in fact, pay you interest</strong> if=
 there are delays of over 45 days on their end.</span></li>
</ul>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth:</strong> I will have to wait longer for my refund</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Reality:</strong> This is partially correct and partially untrue.=
 If you rush through your return to meet this arbitrary April 15th initial =
deadline &amp; you make mistakes, you risk having to wait far longer if you=
r return is selected for review. Remember, rushed work leads to rushed resu=
lts, even if you are using a professional preparer.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">This is why <strong>the best CPAs</strong> will have a cutoff date anywhe=
re between Feb 15th and March 31st, putting later-season returns on extensi=
on: because they care about work quality. I would be concerned if any profe=
ssional is taking unextended work too late in the season.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>Myth:</strong> Extending increases my chances of an audit</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
"><strong>False:</strong> Extended returns are <strong>less likely</strong>=
 to be audited. This is because the IRS pulls returns for audit as the seas=
on starts. Later in the season, the audit department increasingly hits capa=
city. So, the standards for selecting returns for audits becomes increasing=
ly higher, meaning that later-season returns are <strong>far less likely to=
 be selected</strong> &amp; are often selected only where the underreportin=
g appears to be egregious.</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">For help with filing an extension, questions about the process, or really=
 any tax or accounting assistance, please hit =E2=80=9Creply.=E2=80=9D</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">--</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">George Dimov CPA</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">www.dimovtax.com</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">(833) 829-1120 toll free</p>
<p class=3D"" style=3D"margin-bottom:1.2em;line-height:1.5em;font-size:16px=
">=E2=80=8B<br>=E2=80=8B</p>
</td></tr></tbody></table>

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3" alt=3D"facebook" style=3D"width:40px;height:40px;max-width:100%;">
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2MA=3Ds0-d-e1-ft#https://functions-js.convertkit.com/icons?icon=3Dlinkedin&=
amp;foreground=3Dffffff&amp;background=3D0077b5&amp;shape=3Dsquare&amp;v=3D=
3" alt=3D"linkedin" style=3D"width:40px;height:40px;max-width:100%;">
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