Extension to file 1040, no need to send a 4868 if paying online?

Finance
21

CC Convenience Fee

22

But you get 2% cash back, right?

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23

My non-professional guess for a:

  • business return – yes.
  • sole-prop on Schedule C – maybe. As with everything else, only the costs attributable to the business should be deductible as a business expense.
  • personal return without Schedule C – no, since TCJA disallowed it. Prior to TCJA it was itemizable. Thanks Trump!

If you receive any cash back from the CC and you’re writing off the fee as a business expense, then the cash back should be recorded as business income.

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24

I’m pretty sure in general, if you are deducting the tax payment, you can also include any fees related to that tax payment.

And as Scripta says, if you deduct any expense and receive a partial rebate of that expense (like cashback), that rebate is taxable income.

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25

A week late and a dollar (plus inflation) short, but …

Some states accept your filing a 4868 with the IRS as an automatic extension to your state return. I’m not sure if they would also accept payment of your estimated fed taxes as an extension, even if the feds do.

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