The Highway Act changed the filing due dates of business income tax returns beginning for tax years after 12/31/15. Along with these changes the extension periods for other types of returns have also been updated. The following chart highlights these important revisions.
|
Type of Return |
Current Maximum Extension Period |
Maximum Extension Period for Years beginning after 2015 |
|
Form 1041 (U.S. Income Tax Return for Estates and Trusts) |
5 months automatic (September 15th for calendar year trusts and estates) |
5 ½ months automatic (September 30th for calendar year trusts and estates) |
|
Form 5500 (Annual Return/Report of Employee Benefit Plan) |
2 ½ months automatic (October 15th for calendar year plans) |
3 ½ months automatic (November 15th for calendar year plans) |
|
Form 990 (Return of Organization Exempt from Income Tax) |
3 months automatic, plus an additional 3 months with an approved extension |
6 months automatic |
|
Form 4720 (Return of Certain Excise Taxes) |
3 months automatic, plus an additional 3 months with an approved extension |
6 months automatic |
|
Form 5227 (Split-Interest Trust Information Return) |
3 months automatic, plus an additional 3 months with an approved extension |
6 months automatic |
Related read: Changes to Filing Due Dates for Business Income Tax Returns
Essentially, the IRS is increasing the extension period for Forms 1041 and 5500 and the requirement to file a second extension for Forms 990, 4720 and 5227 is being removed. Forms 990, 4720 and 5227 will have the same final extended due date without the burden of filing a second extension. These changes will take effect for tax years beginning anytime during 2016.
Tax law can be confusing and the changes in filing due dates between business and individual tax returns certainly can add to the confusion. I am ready to help – drop me a note at btheofilos@zinnerco.com or call 216-831-0733 to arrange a no-obligation consultation. 
