What the Form Is For

Form 7004 is the IRS form that businesses use to request additional time to file their income tax, information, and certain other returns. Think of it as your company's "I need more time" request to the IRS. The form is specifically designed for business entities—not individual taxpayers—and covers a wide range of return types including corporate income tax returns (Forms 1120, 1120-S), partnership returns (Form 1065), trust and estate returns (Form 1041), and various other specialized business and information returns.

When you properly file Form 7004, the IRS automatically grants you an extension—typically six months from your original due date. This gives your business breathing room to gather all necessary financial records, complete complex calculations, and ensure accuracy before filing your actual tax return. However, there's a critical distinction that trips up many business owners: Form 7004 extends only your filing deadline, not your payment deadline. Any taxes you owe must still be paid by the original due date to avoid penalties and interest charges.

The form serves as a protective measure against late-filing penalties, which can be substantial for businesses. It's particularly valuable when you're dealing with complicated tax situations, waiting for K-1 forms from partnerships or S corporations, handling multi-state operations, or simply need additional time to ensure your return is accurate and complete.

IRS.gov About Form 7004

When You'd Use It (Late/Amended Considerations)

You must file Form 7004 on or before your original tax return due date to receive the extension. For most calendar-year corporations (Form 1120), this means filing by March 15 (for 2020 tax year returns due in 2021). For calendar-year partnerships and S corporations, the deadline is also March 15. Different entities have different deadlines, so check your specific return's instructions for the exact due date.

What Form 7004 Does Not Do

• It cannot be filed late to excuse a missed deadline.
• It is not used for amended returns.
• It cannot be used to request a second extension.

If you filed Form 7004 but then realize you can't meet even the extended deadline, you generally cannot request a second extension for the same return. The automatic extension is typically the only extension available for most business returns.

In 2020, however, the IRS provided special relief due to the COVID-19 pandemic, extending various tax deadlines—but under normal circumstances, the Form 7004 extension is your one opportunity for additional time.

IRS Instructions for Form 7004

Key Rules for 2020 Tax Year

Extension Length

• Most business returns received an automatic 6-month extension from their original due date.
• Estates and trusts filing Form 1041 received a 5½-month extension.
• C corporations with tax years ending June 30 received a 7-month extension (6 months if filing Form 1120-POL).

Special Situations

Certain foreign and domestic corporations and partnerships with records outside the U.S. and Puerto Rico automatically qualified for extensions under IRS Regulations section 1.6081-5. They didn’t always need to file Form 7004 unless requesting extra time beyond the automatic period.

Payment Requirements

Even with an extension to file, any unpaid tax was still due by the original return deadline.
If at least 90% of the total tax owed was paid by that date, the IRS generally waived late-payment penalties—though interest continued to accrue.

COVID-19 Special Relief

In 2020, the IRS automatically extended many tax deadlines falling between April 1 and July 15, 2020, to July 15, 2020. This relief applied without filing Form 7004.

No Confirmation Sent

Starting with 2020, the IRS stopped sending confirmation notices for approved extensions. You would only be contacted if your extension was denied.

IRS Instructions for Form 7004 (Rev. December 2018)

Step-by-Step Filing Process (High Level)

Step 1: Determine Your Form Code

Enter the appropriate form code on Part I, line 1 (e.g., code "09" for Form 1120, code "07" for Form 1065). A full list is in the form instructions.

Step 2: Provide Identifying Information

Include your business name (exactly as on your prior return), EIN or SSN, and full address. The information must match IRS records.

Step 3: Complete Part II

• Check applicable boxes (e.g., foreign corporation, consolidated group).
• Specify tax year dates.
• Note if filing for a short tax year and explain why.

Step 4: Calculate Estimated Tax

Use lines 6–8 to estimate total tax, payments made, and any balance due. Make a good-faith estimate using accounting records and projections.

Step 5: Pay Any Balance Due

Pay any amount due by the original due date via EFTPS, electronic withdrawal, or mailed check.

Step 6: File the Form

File electronically via the IRS Modernized e-File (MeF) platform (preferred) or mail to the correct Service Center. E-filing provides immediate confirmation.

Step 7: Keep Your Records

Keep a copy of your filed Form 7004 as proof of timely filing.

IRS E-filing Form 7004

Common Mistakes and How to Avoid Them

Mistake #1: Confusing Extension to File with Extension to Pay

Problem: Believing Form 7004 extends your payment deadline.
Fix: Pay your estimated taxes by the original due date. The extension only delays your paperwork.

Mistake #2: Filing After the Original Due Date

Problem: Filing late invalidates the extension.
Fix: Submit the form before the deadline—preferably several days early.

Mistake #3: Mismatching Name or EIN Information

Problem: Inconsistent info invalidates your extension.
Fix: Use the exact business name and EIN on your previous return.

Mistake #4: Underestimating Tax Liability

Problem: Low estimates may lead to penalties.
Fix: Base your estimate on current-year data. Better to overpay slightly.

Mistake #5: Missing the Extended Deadline

Problem: Forgetting the new due date.
Fix: Mark your calendar and set reminders well before the deadline.

Mistake #6: Incomplete Part II Information

Problem: Missing required details can void the extension.
Fix: Review all lines before submission.

Mistake #7: Filing Paper Form When E-filing Your Return

Problem: Mismatched filing methods can trigger late penalties.
Fix: File both Form 7004 and your return the same way—electronically or both on paper.

IRS Instructions for Form 7004

What Happens After You File

Once you file Form 7004, the process is automatic and silent—you won’t receive an approval notice. Assume your extension is granted if filed correctly and on time.

If Your Extension Is Valid

You now have until your extended due date to:

• Gather and organize tax documents
• Complete and review your return
• File the final return by the extended deadline

If There’s a Problem

The IRS will notify you only if your extension is denied, usually due to late filing, errors, or missing information.

Interest and Penalties

Interest accrues from the original due date on any unpaid balance.

• Interest rate: Federal short-term rate + 3% (compounded daily).
• Late-payment penalty: 0.5% per month (max 25%) if less than 90% of tax was paid on time.

After Filing Your Return

The IRS processes your return normally:

• Refunds are issued as usual.
• Any additional taxes owed must be paid by the extended due date.

IRS E-filing Form 7004

FAQs

Can I file Form 7004 if I can't afford to pay my taxes?

Yes. File the extension even if you can’t pay in full. Pay what you can and then request a payment plan. This avoids the higher late-filing penalty.

Do I need to file a separate Form 7004 for each business entity I own?

Yes. Each business entity must file its own Form 7004. There’s no “blanket” extension.

Can I file Form 7004 electronically?

Yes—and it’s preferred. Most return types can be e-filed via the IRS MeF platform.
Certain forms (8612, 8613, 8725, 8831, 8876, 706-GS(D)) must still be filed on paper.

What happens if I file my return before the extended deadline?

Nothing negative. You can file anytime before your new deadline.

If I'm part of a consolidated group of corporations, how does Form 7004 work?

Only the common parent files Form 7004 for the group, attaching a list of all members’ names, addresses, and EINs.

Will I be notified if my extension is approved?

No. You’ll only receive a notice if your extension is denied. Keep proof of timely filing as your record.

Can I get a second extension if I still can't file by the extended deadline?

Generally no. The automatic extension is the only one available, except in rare hardship cases like disasters or serious illness.

IRS About Form 7004 | IRS Instructions for Form 7004

This summary is based on IRS guidance for the 2020 tax year. Tax laws and procedures may change. For the most current information, visit IRS.gov or consult a tax professional.