Yes, you can request an extension if you can’t pay your tax bill on time, but it’s important to understand the distinction between a filing extension and a payment extension. The IRS allows taxpayers to file for an extension to submit their tax return, gaining an additional six months to file. However, this does not extend the time to pay any taxes owed; the tax payment is still due on the original due date.
If you cannot pay your tax bill by the deadline, you should pay as much as you can to minimize penalties and interest. You may then consider options like applying for a short-term extension, a payment plan, or an installment agreement to pay the remaining balance over time. For a short-term extension of up to 120 days, you should contact the IRS directly. If a longer period is needed to pay off the taxes due, consider applying for an installment agreement either online through the IRS website or by submitting Form 9465.
Furthermore, if you’re facing significant financial hardship, you might qualify for an Offer in Compromise, which allows you to settle your tax debt for less than the full amount owed. It’s advisable to consult with a tax professional or directly contact the IRS to explore and evaluate the best option for your circumstances to avoid additional penalties and interest. Always ensure communication with the IRS to keep your tax record in good standing.