Tax Planning

IRS Extends Additional Tax Deadlines for IRAs, HSAs, and More

IRS Extends Additional Tax Deadlines

The IRS Extends Additional Tax Deadlines for IRAs, HSAs, and Coverdell ESAs. Previously, the Internal Revenue Service (IRS) announced that the federal income tax filing due date for individuals for the 2020 tax year had been automatically extended from April 15, 2021, to May 17, 2021.


More time for all

However, the IRS has also settled on May 17, 2021 as the deadline for contributions to individual retirement arrangements (IRAs and Roth IRAs), health savings accounts (HSAs), and Coverdell education savings accounts (Coverdell ESAs).


No additional tax until May 17, 2021

This also automatically postpones to May 17, 2021, the deadline for reporting and payment of the 10% additional tax on amounts includible in gross income from 2020, distributions from IRAs, or workplace-based retirement plans.


What about estimated tax payments?

Keep in mind that this does not alter the April 15, 2021, deadline for estimated tax payments; these payments are still due on April 15. Taxes must be paid as taxpayers earn or receive income during the year, either through withholding or estimated tax payments.


Interested in learning more? Schedule an Introductory Call with the KFP team!