California ranks 1st in the list of most populous states in the US. It has an estimated population of 39,237,836. If you are a California resident, it’s important to know when your state tax deadlines are.
In California deadlines for taxes are vital, and this blog post lists four essential things you need to know about the same.
If You Owe Taxes, They Are Due on April 15
In California, you need to pay state taxes by April 15. This is the same date as the federal tax deadline. If you owe taxes, you should settle them in full by this date to avoid penalties and interest charges. There are numerous ways to pay your taxes, including online, by phone, or even by mail.
You can set up a payment plan if you cannot pay all your taxes in one go. If you are facing financial difficulties while paying your taxes, options are available to help you. No matter your situation, filing to meet California deadlines when paying your taxes on time is important.
You Can Apply for a File Return Extension if needed.
As per 2022 census data, the median household income of California residents is around $78,672. California taxpayers who need more time to file their state tax returns can request an extension. The extension awards you an additional six months to file your return, giving you 12 months from the original due date. To request an extension, you must file Form 3539 by the original due date of your return.
Once you file for an extension, you will have until October 15 to file your return. Extensions are automatically granted to taxpayers out of the country on the due date, as long as they file Form 3539 by the original due date. If you owe taxes, you should still pay them by the original due date to avoid interest and penalties.
There Are Penalties and Interest Charges for Filing Your Taxes Late
In California, taxpayers who file their taxes late are subject to a number of penalties and interest charges. The late filing penalty is 5% of the unpaid tax amount for each month that the return is late, up to 25%. In addition, taxpayers who owe taxes but don’t file a return by the due date will be paying interest at the rate of 10% per year.
Finally, if you file your return more than 60 days after the due date, you might be required to pay a late filing penalty of $100 or 100% of the unpaid tax, whichever is smaller. So, as you can see, filing your taxes on time is vital to avoid these costly penalties and interest charges.
You Can File Your Taxes Online or by mail
Filing your taxes online or by mail is a personal decision. Some people prefer filing their taxes online, while others find it more reassuring to file by mail. Here are some things you should be careful about. First, California tax law requires that you file your taxes electronically if you owe more than $20,000. If you plan to file a tax return by mail, you must include a payment for the amount you owe.
Second, filing online is generally faster and more efficient than mailing your return. Third, if you choose to file by mail, you will need to allow enough time for your return to be processed. Therefore, the IRS recommends that you mail your return at least two weeks before the April 15 deadline.
These are the four tax deadlines in California you should know. Of course, if you have any tax-related issues, you can always contact a tax attorney and seek his guidance to meet tax compliance.