Russ Wiles
The Arizona Republic
Aug. 4, 2004

Procrastinators of the world, beware: The next federal income-tax filing deadline is approaching.

The Internal Revenue Service is warning people who didn't file their returns by April 15 that the paperwork must be in by Aug. 16, except in unusual hardship cases.

A rising percentage of taxpayers in recent years have requested extra time to file beyond April 15. The IRS estimates 110,400 Arizonans were among the 8.5 million Americans who didn't make the deadline this year.

Confusion over dividends may have convinced more people to take extra time, said Randy Tudor, a certified public accountant in Phoenix. Because of a change in dividend-tax rules passed by Congress in 2003, some investment firms, including mutual funds, earlier this year issued corrected 1099 forms or cautioned investors to expect revisions.

"We definitely saw an increase (in extension requests) because most of our clients are investors," Tudor said.

Each year, taxpayers can receive an automatic four-month extension, taking them from mid-April to mid-August, by filing IRS Form 4868. But the reprieve doesn't grant extra time for people to pay their estimated tax bills; 90 percent of any such obligation is due April 15.

People facing hardships can request an additional two months, until Oct. 15. Hardships include illness and destroyed tax records.

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