Pushing Back that April 15 Deadline

By Jay Sedmak
SNPJ Publications Editor/Manager

Now that the calendar tells us we’ve entered the month of April, it seems that every news outlet wants to remind us that our Federal (and state, and in most cases, local) income taxes are due by the middle of the month. You don’t have to look very hard for the reminders: turn on the television, open a newspaper, tune-in the radio or browse the Internet and you’re sure to find some mention of the looming April 15 tax filing deadline.

If you’re due a refund on your taxes, or even if you think you may be due a refund, chances are you’ve already filed your 2013 taxes and are now contemplating how best to spend those refund bucks. Then again, maybe you simply wanted to enjoy the month of April without having to worry about the tax deadline by filing your return early and paying your taxes before any late-filing penalties were imposed.

So what happens when you can’t complete your taxes early, or even by the April 15 deadline? In that case you must file a tax extension, which gives a taxpayer until October 15 – that’s six additional months – to complete and file his or her 2013 Federal income tax return with the IRS. Just keep in mind that taxpayers must request the extension by April 15.

Unfortunately, the tax filing extension doesn’t allow additional time to pay your taxes – which are still due on April 15. Taxpayers are advised to make their best estimate of what they may owe and then (1.) worst-case scenario, pay the penalty and interest on any outstanding tax owed; or (2.) receive a refund for any overpayment made on the 2013 tax. Nor does the extension allow for additional deposits to tax-deferred/tax-free items such as annuities, IRAs, health savings accounts and 401(k) plans. As a general rule of thumb, accounts of this nature are closed to prior-year deposits on April 15.  And that means you have less than two weeks to consider making additional 2013 deposits to your SNPJ Century Series Annuities and IRAs – or opening an SNPJ IRA or annuity if you haven’t done so already.

If you’re one of the estimated 12 million Americans who will be filing a tax extension on April 15, you still have a little time to open an SNPJ annuity and/or IRA, or make deposits to your existing accounts. Need some help with your SNPJ annuity or IRA as the April 15 deadline nears? If so, be sure to contact the SNPJ Home Office by phoning 1-800-843-7675. But don’t wait too long or you may miss out on reaping any tax advantages for 2013.

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