ExpressExtension Support

What is IRS Regulation 1.6081-5, and when are businesses exempt from filing an extension?

Certain foreign and domestic corporations, as well as certain partnerships, are entitled to an automatic extension of time to file and pay under IRS Regulation section 1.6081-5.

These entities do not need to file Form 7004 by the prescribed IRS deadline (the 15th day of the 3rd month) to receive an automatic extension of time. They can file and pay any balance due by the 15th day of the 6th month following the close of their tax year. These entities include:

• Partnerships and certain domestic corporations that keep their books and records outside the United States and Puerto Rico.

• Foreign corporations that have an office or place of business in the United States.

• Domestic corporations whose primary income comes from sources within the territories of the United States.

If the entity is unable to file its return on or before the 15th day of the 6th month following the close of its tax year, it can check the box (business as a corporation or partnership that qualifies under IRS Regulation section 1.6081-5) on Line 4 to request an additional extension of time to file. The additional extension period will be three months for partnerships and S corporations and four months for C corporations and filers of Form 1120-POL.