Do I need a federal or state extension if I am due a refund?

[gpattwx]

I will not be able to prepare and submit my taxes next year until after April 15th, most likely not until May. I am expecting a refund from both the state and federal income taxes. From what I can find, I can simply just file my federal income tax return without needing an extension without any penalty against my refund? Is this the same for New York State income state taxes? If I file both the NYS and Federal income taxes in the month of May and I am getting a refund from both the State and Federal taxes, do I need an extension and if not, will there be any penalty which would decrease the amount of my refund for either? For example, if I am expecting a refund of $1500 from the Federal taxes and a refund of $500 from the NY State taxes, will I still see the $1500 from the Federal and $500 from NYS if I file my taxes in May or June?

[DoninGA]

If you are receiving tax refunds for your federal and state tax returns there is no need to file an extension.  There are no penalties for filing after the due date of the tax return, federal or state, if filing for a tax refund.

[Mike9241]

please note that extensions and any balance due are due by the original due date of the returns. since you are due a refund no extension is required. However, it's always a good idea to file an extension even if you think you are due a refund. Should the IRS find an error where you now owe the penalty for late filing is 4.5% of the balance due per month for the first 5 months. then it drops to zero. there is also a late payment penalty of .5% per month and interest. If you file more than 60 days late and owe the minimum penalty is about $500 or the unpaid tax whichever is less

a timely filed extension generally gives you until 10/15 to file and there is no late filing penalty unless you owe and file after 10/15.

you don't have to use Turbotax for the extension. you can download the current year form 4868 from the iRS website and there are other websites that allow e-filing an extension for free.  If you have a state income tax, the laws vary. Some require an extension and payment if you owe. others only require payment and honor a timely filed federal extension. 

[gpattwx]

Thank you for the extensive explanation. I am pretty confident that I would not owe taxes as I generally have never owed since I also do additional withholdings throughout the year.

Is there a separate form I would need to file an extension for NYS or would the Federal Form 4868 be sufficient if I send to the given address on the instructions? Noting that even though I am posting this in July, I am speaking about next tax season so I would need to wait for the updated tax form for next year as only this year's is available on the IRS website. All my taxes up to this point have been filed with no issues. It is just next year whereas I would not be able to file until most likely May but fully expect a refund based upon my tax liability and payments I make throughout the year.

In reality, I am just looking to hope that when I get the refund next year, there will not be a penalty from the Federal or State (NYS) income tax filing. So, neither will take a percentage from my refund regardless of if I file a Form 4868 and any other State Form or not? I understand if I OWE, there would be a penalty...but since I expect a refund, I will still get the full expected refund with no percentage taken off.

[fanfare]

there is no penalty for filing late if a refund is coming to you, unless you accrued the refund only after Tax Day April 15th..

@gpattwx 

[cparke3]

You should file all applicable extensions if you can.

While you may not need the extension if you are due a refund, you lose the right to make most elections on your return when you late file if you didn't file an extension by the regular due date, or you still don't file by the extended due date.  Some states also impose minimum late-filing penalties regardless of tax amount due (ex: minimum $50/month), so filing the extensions could still save you penalties.