Tax Day Extension Deadline Looms As Millions Remain Unemployed

The video discusses the impact of the COVID-19 pandemic on tax filing, highlighting safety measures like social distancing. It addresses challenges faced by taxpayers, such as unemployment and financial difficulties, and explains the IRS's stance on tax extensions, penalties, and payment plans. The IRS is dealing with a backlog of paper returns but is prioritizing processing. Interest will be paid on delayed refunds.

What measures are being taken to ensure safety during tax filing amidst the pandemic?

• Increasing the number of office spaces

• Adding extra space between chairs and desks

• Eliminating social distancing guidelines

• Reducing the number of tax forms

What is a potential consequence of filing a tax extension with a balance due?

• Immediate refund processing

• A reduction in the balance due

• Accruing interest and a late payment penalty

• No additional charges

By when must taxpayers submit their application to be granted an extension until October 15th?

• By the end of the fiscal year

• By the start of the next tax year

• By the end of the month

• By midnight on Wednesday

How many paper returns did the IRS have in backlog according to a recent estimate?

• 10 million

• 2 million

• 4.7 million

• 1 million

What is the IRS's approach to delayed tax returns?

• They will not process them

• They will charge a penalty

• They will pay interest on delayed returns

• They will expedite processing without interest