2013 is over and we are off into the New Year. For most, this marks the end of quite a few beneficial tax savings opportunities. But for a few lucky people, a handful of deadlines have been extended into 2014. Below are the dates in which tax extensions have been granted for the New Year.
January 15th 2014
If you have been making estimated payments of tax throughout the year you can avoid fourth quarter penalties by making one of these payments on or before January 15th 2014.
March 15th 2014
If you have contributed any funds to an employer-sponsored cafeteria plan through a flexible spending arrangement (FSA) in 2013, you have until March 15th 2014 to use them on any qualified medical expense.
April 1st 2014
For taxpayers with traditional IRAs, you now must make required minimum distributions (RMDs). This means that they must take minimum distributions from their IRA starting the year they turn 70½.
Taxpayers who have just turned 70½ may delay their first payment until April 1st 2014. For all subsequent years in which you were paid the first RMD by April 1, you must take the RMD by December 31 of the year.
April 15th 2014
Taxpayers have until April 15th 2014 to make any tax-deferred contributions to a traditional individual retirement account (IRA).
If you are covered under a high-deductible health plan (HDHP), you have until April 15th 2014 to make any tax-deferred contributions to a health savings account (HSA).
If one of these dates applies to you, do not hesitate and miss out. Get in touch with your CPA and find out how you can capitalize on these tax saving extensions.