Filing late and sold summer house

[Louis2810]

We will be unable to file our 2022 taxes on time as we will be away and arriving back on April 19th, how to file for an extension. We also sold our summer house to our oldest son and know we will have to pay capital gains after off setting with the improvements. Do we have send the capital gains prior to filing or how do we handle this part. We live in Florida and do not need to file any State taxes. The summer house was located in North Carolina.

[Anonymous]

Hello Louis2810,

Thank you for participating in the Ask the Experts Event. As to your question, you should be able to file an extension as soon as the Tax Year 2022 software is available. You can also mail in a paper form if you choose. Here is some additional information to guide you on that extension.

As to the sale of your home, it would be wise to include what you estimate the taxes to be so that you are not hit with an underpayment penalty and interest. The extension gives you additional time to file, but not additional time to pay what you owe. If it is unclear or you are unable to determine it at the time you extend, the best option is to make sure you have paid (whether through withholdings and/or estimated tax payments throughout the year or an amount paid with your extension) at least the same amount as you did for 2021.

I hope that helps.