Fill a Valid Delaware 1027 Form

Detailed Guide for Filling Out Delaware 1027

Filling out the Delaware 1027 form is your first step towards requesting an automatic extension of time to file your Delaware individual income tax return. It's important to complete this process accurately to ensure you get the extension without any hitches. Essentially, this form is your way of informing the tax authorities that you need more time to get your tax documents in order. Whether you're waiting on more information, dealing with personal issues, or simply caught up in life's many responsibilities, submitting this form on time provides the breathing room needed to ensure your tax return is accurate and complete. Follow these steps to fill out the form correctly.

1. Prepare two copies of the form, as you will need to file the original with the Division of Revenue and attach the duplicate to your Delaware personal income tax return when submitted.
2. Enter your name and your spouse's name (if filing jointly) at the top of the form, along with your Social Security number and your spouse's Social Security number.
3. Fill in your current home address, including apartment number or rural route, city, town, or post office, state, and ZIP code.
Indicate your request for an automatic extension by checking the appropriate box for the tax year you're requesting the extension for. In our case, it would be for the calendar year 2009, or the applicable fiscal year if not filing on a calendar year basis.
4. Complete lines 1 through 6 on the form to provide the necessary financial details:
• Estimate your total income tax liability for 2009 on line 1.
• Enter the amount of Delaware income tax withheld on line 2.
• Report any estimated tax payments for tax year 2009, including any prior years' overpayment allowed as a credit, on line 3.
• Add any other payments and credits on line 4.
• Calculate the total payments and credits (add lines 2, 3, and 4) and enter this on line 5.
• Determine the balance due (subtract line 5 from line 1) and put this amount on line 6. This is the amount you need to pay with your application.
5. Sign and date the form. If you're filing jointly, make sure both you and your spouse sign and date.
6. If the form is prepared by someone other than you, such as a tax professional, they need to complete the certification section, sign, and provide their daytime phone number.
7. Check the instructions on the reverse side of the form for details on mailing addresses and payment instructions. Make your check payable to the Delaware Division of Revenue and send the original form with your payment to the provided address.

After submitting the Delaware 1027 form, you've officially requested an extension. This does not extend the time to pay any taxes due but rather grants more time to file your return. Interest may still accrage on any unpaid balances, so it's wise to estimate and pay any owed taxes with your extension to minimize additional charges. Remember, this step is about ensuring you have enough time to file accurately, so use the extension period wisely to gather all necessary documentation and consult with a tax professional if needed.

Below are some frequently asked questions about the Delaware Form 1027:

1. What is the purpose of Delaware Form 1027?

   Delaware Form 1027 is an application for an automatic extension of time to file an individual income tax return in Delaware. This form is used by taxpayers who need additional time beyond the original filing deadline to prepare their state income tax return. By filing this form, taxpayers can obtain an extension of up to five and a half months to file their Form 200-01, 200-02, or 200-03 EZ. However, it's important to note that this extension applies only to the filing of the return and not to the payment of any tax due.

2. How do I correctly file Form 1027?

   To correctly file Form 1027, complete the form in duplicate, making sure to accurately report your anticipated total income tax liability and any Delaware income tax withheld, estimated tax payments for 2009, other payments and credits. Subtract the total of lines 2, 3, and 4 from line 1 to calculate the balance due, which should be paid in full with this application. The original form must be submitted to the Division of Revenue and the payment for the balance due must accompany the form if applicable. A duplicate of the form should be attached to the face of your Delaware personal income tax return when filed. Remember to file this application on or before the due date to obtain the extension.

3. Can I receive an extension if I owe no tax or am expecting a refund?

   An application for an extension using Form 1027 is not required if you anticipate that the balance due on your return will be zero or less, and you have already filed an extension with the Internal Revenue Service. However, if upon filing your return there is a balance due and you did not file Form 1027, penalties for late filing may apply. If you are uncertain about whether you will owe tax, it's advisable to file Form 1027 to avoid possible late penalties.

4. What happens if I don't pay my estimated tax due with the Form 1027?

   Filing Form 1027 does not extend the time to pay taxes owed. Interest will accrue at the rate of one-half percent per month on any balance of tax due from the original deadline of the return until the tax is fully paid. If you file Form 1027 but fail to pay the estimated tax due, you may be subject to interest charges on the unpaid balance. It is essential to estimate and pay any tax due with your extension request to minimize interest and penalties.

When filling out the Delaware Form 1027, which is the application for an automatic extension of time to file an individual income tax return, some individuals encounter difficulties due to common errors. These mistakes can cause delays or issues with processing the extension. Understanding these pitfalls can help ensure the form is completed accurately and submitted successfully.

One common mistake is not preparing the form in duplicate, as specifically instructed in the form’s guidelines. This requirement is often overlooked. The original form should be filed with the Division of Revenue, State of Delaware, by the due date, accompanied by full payment of the balance due indicated on line 6. The duplicate copy must be attached to the Delaware personal income tax return when filed. Neglecting this step can cause problems when claiming payments made with the application.

1. Incorrect Social Security Number: An error as simple as transposing numbers or leaving the field blank can significantly delay processing. The Social Security Number is a crucial identifier for tracking your extension request and linking it to your tax records.
2. Not signing the form: The Form 1027 requires signatures to validate the information provided. If filing jointly, both spouses must sign, even if only one had income. Unsigned forms may be considered invalid, leading to unacknowledged extension requests.
3. Failing to report accurate tax liability estimates: Lines 1 through 6 are designed to capture your expected tax due, withholding, and other credits. Underestimating or inaccurately reporting these amounts can affect the balance due with the form. Accurate reporting is crucial to avoid interest on any underpaid tax amounts.
4. Omitting payment for the balance due: If there's a balance due shown on line 6, it must be paid in full with the application submission. Failing to include the required payment can result in the denial of the extension request. Additionally, interest will accrue at a rate of one-half percent per month on any unpaid tax from the original due date until it's paid.

Furthermore, applicants often overlook the specific instructions for individuals filing under different statuses, such as filing separately. In cases where spouses are filing separate Delaware personal income tax returns, a separate Form 1027 must be filed for each person. Ignoring this instruction can lead to unnecessary confusion and delays.

To sum up, careful attention to detail and adherence to the official instructions can greatly aid in the successful submission of the Delaware Form 1027. By avoiding these common mistakes, filers can ensure a smoother process in requesting an extension for their Delaware individual income tax return.

When handling your taxes, especially if you're taking advantage of the Delaware Form 1027 for an automatic extension, knowing which additional forms and documents might be needed can streamline the process and ensure you're fully prepared. Here’s a quick guide to some documents that are often used alongside Form 1027.

• Form 200-01, 200-02, or 200-03 EZ: These are Delaware's Individual Income Tax Return forms. Form 200-01 is the long form for residents, Form 200-02 is for non-residents, and Form 200-03 EZ is a simplified version for eligible individuals. Whichever is relevant to your tax situation will be required after receiving the extension granted by Form 1027.
• Payment Voucher (Form 200-ES): If you owe state taxes and are not paying electronically, you'll likely use this form to submit any payments due. It's an essential component for those who need to make estimated tax payments throughout the year or at the extension's filing.
• Power of Attorney (Form 2848): If someone else, like a tax professional, is handling your tax affairs on your behalf, this form grants them the legal right to do so. It might not be necessary for everyone but is crucial if you're unable to manage your tax filing personally.
Federal Extension: While not a state form, if you've also applied for a federal tax extension, a copy of the approved extension might be required by the state. This coordination ensures your state tax deadlines align with any extended federal timeline you've been granted.

Understanding which documents accompany the Delaware Form 1027 can make the extension process smoother and less stressful. Whether you're filing as a resident, non-resident, or simply need someone else to manage the paperwork, having the right forms at the ready can help ensure compliance with state tax laws and avoid unwanted penalties.

The IRS Form 4868, "Application for Automatic Extension of Time to File U.S. Individual Income Tax Return," shares a key similarity with the Delaware 1027 form. Both documents serve the purpose of granting taxpayers additional time to file their tax returns – a six-month extension for federal returns via Form 4868, contrasting with Delaware 1027's specific extension period. Although the forms are used for different tax jurisdictions, the concept underlying both is to alleviate the pressure on taxpayers by providing them with more time to gather necessary information and funds to complete their tax filings accurately.

Form 7004, "Application for Automatic Extension of Time to File Certain Business Income Tax, Information, and Other Returns," is akin to the Delaware 1027 form but caters to businesses instead of individuals. Similar to the 1027 form, Form 7004 offers an extension for filing tax returns, though it is specifically designed for corporations, partnerships, and certain trusts. The main parallel between these forms lies in their purpose to provide extra filing time, thus ensuring that entities can accurately report their finances without rushing through the process.

The California Form 3519, "Payment for Automatic Extension for Individuals," resembles the Delaware 1027 form as it pertains to extending the deadline for filing state income tax returns for individual taxpayers. Both forms obligate taxpayers to estimate the tax due and remit payment with their application, underlining the principle that an extension to file is not an extension to pay. This emphasizes the stance of both state tax authorities on maintaining tax revenue flow while accommodating taxpayers' need for additional time.

Form IT-370, "Application for Automatic Six-Month Extension of Time to File for Individuals," from the New York State Department of Taxation and Finance, shares similarities with Delaware's Form 1027. Both forms target individual taxpayers seeking more time to file their state income tax returns. The key likeness lies in their offer of an automatic extension, though the authorization process and state-specific deadlines differ slightly to fit within their respective state tax regulations.

Form 40EXT, "Application for Automatic Extension of Time to File Alabama Individual Income Tax Return," operates on the same foundational premise as the Delaware 1027 form—providing individuals with additional time to file their state income tax returns. Both forms are designed to ease the late filing of tax returns by offering an extension, albeit within the tax laws and deadlines specific to their state. They also implicitly remind taxpayers that the extension applies to filing the return, not to any payment due.

Form NJ-630, "Application for Extension of Time to File New Jersey Gross Income Tax Return," serves a similar function to the Delaware 1027 form for New Jersey residents. Like the Delaware form, Form NJ-630 allows taxpayers to request additional time to file their state income tax returns. Both forms necessitate that taxpayers estimate and make payment towards their anticipated tax liability, ensuring that taxpayers understand the obligation to pay by the original due date despite the filing extension.

Form DR 0158-I, "Colorado Extension Payment for Colorado Individual Income Tax," aligns with the Delaware 1027 form's goal of granting taxpayers extra time for filing. This form specifically caters to Colorado taxpayers, extending the deadline for filing state income taxes. The framework of both forms underscores the differentiation between extending the filing date and the due date for tax payments, with a clear intention to prevent confusion and promote timely tax payment.

Form IL-505-I, "Automatic Extension Payment for Individuals Filing Form IL-1040," is Illinois' counterpart to Delaware's 1027 form, aimed at granting individuals additional time to file their state income tax returns. Both forms highlight the necessity of calculating and remitting the estimated tax liability with the extension request, ensuring that taxpayers are aware of their payment responsibilities even as they seek more time to compile their tax documentation.

Form 4868P, "Application for Automatic Extension of Time to File Pennsylvania Personal Income Tax Return," is Pennsylvania’s version of an extension request form and shares its purpose with the Delaware 1027 form. The focus on granting additional time to file personal income tax returns is central to both forms, with each catering to its state’s regulations and tax filing requirements. The forms serve as a procedural means for taxpayers to avoid penalties for late filing, provided estimated taxes are paid.

Form M4868, "Massachusetts Application for Automatic Six-Month Extension of Time to File Massachusetts Individual Income Tax Return," is Massachusetts' mechanism for taxpayers to obtain more time for filing, similar to Delaware's 1027 form. Both documents facilitate an extension request process that includes estimating and paying any tax due, elucidating the separation between the extension to file and the obligation to pay taxes in a timely manner. Even though these forms cater to different state jurisdictions, their objectives align closely, aiming to assist taxpayers in managing their filing responsibilities with greater flexibility.

When filling out the Delaware 1027 form, attention to detail and adherence to guidelines is critical. Here are the dos and don'ts to ensure smooth processing and avoid potential issues:

Do:

1. Prepare the form in duplicate as instructed, ensuring that all entries made on Lines 1 through 6 are accurate and legible. File the original with the Division of Revenue and attach the duplicate to your Delaware Personal Income Tax Return.
2. File this application on or before April 30th, or before the original due date of your income tax return if you are filing a fiscal year return, taking into account any adjustments for weekends or legal holidays.
3. Pay the amount shown on Line 6 when you submit this form to avoid interest accruals on any unpaid tax balance, as this form does not extend the time for tax payment.
4. File a separate Application for Extension, Form 1027, if you and your spouse are filing separate Delaware personal income tax returns.

Don't:

1. Forget to sign the document. If filing jointly, ensure both parties sign the form. Incomplete forms or those missing signatures may result in delays or denial of the extension request.
2. Ignore the instructions regarding the eligibility for automatic extension and the necessary requirements. Failing to comply with these instructions could lead to penalties or interest on unpaid taxes.
3. Assume that an extension to file is also an extension to pay. Interest accrues from the original due date of the return until the tax is fully paid.
4. Mail the form to the incorrect address. If no payment is included, use the specified mailing address for such situations to ensure proper processing.

Understanding the Delaware Form 1027 application for an extension to file an individual income tax return can sometimes be challenging due to certain misconceptions. Here's a breakdown of six common ones:

• Misconception 1: File Form 1027 only if you owe taxes.

  Actually, anyone who cannot file their Delaware individual income tax return by the original due date should submit Form 1027. This includes those who expect to owe zero or receive a refund but need additional time to gather documentation.

• Misconception 2: Filing Form 1027 extends the time to pay taxes without penalties.

  Filing Form 1027 only extends the deadline to submit your tax return, not the deadline to pay taxes due. Interest accrues from the original due date on any unpaid balance, even with the extension.

• Misconception 3: You need to file a separate state extension if you've filed one with the IRS.

  If you don’t owe Delaware taxes or are due a refund and have filed an extension with the IRS, you do not need to file Form 1027. However, if there's a chance you’ll owe Delaware taxes, it’s safer to file the extension.

• Misconception 4: Couples filing jointly need only submit one Form 1027.

  When spouses are filing separate Delaware personal income tax returns, each must submit their own Form 1027 for an extension.

• Misconception 5: You can request an extension anytime before the tax filing deadline.

  Form 1027 must be filed on or before April 30th or the original due date of your tax return. If this date falls on a weekend or legal holiday, the next business day is the deadline.

• Misconception 6: Payments made with Form 1027 are credited automatically.

  When filing your tax return, you must indicate any payment made with Form 1027 as estimated tax paid or payments with your extension to ensure proper credit.

Correcting these misconceptions helps in understanding the purpose and correct use of Form 1027, ensuring compliance with Delaware tax laws and avoiding unnecessary penalties or interest on late payments.

• Filling out the Delaware 1027 form is a request for an automatic extension of time to file a Delaware Individual Income Tax Return for the specified tax year.
• The form allows for an extension until October 15th of the following year, providing additional time to file your Delaware personal income tax return.
• Completing the form requires the expected total income tax liability, the amount of Delaware income tax withheld, estimated tax payments, and other payments and credits.
• To qualify for the extension, this form must be filed on or before the original due date of your tax return and, if owed, payment of the balance due should accompany the form.
• It's crucial to understand that this form extends the time to file the income tax return, not the time to pay any tax owed. Interest will accrue from the original due date on any unpaid tax at a rate of one-half percent per month.
• For joint filers, if both individuals have income, both must sign the form even though only one might have taxes due.
• If filing separately, each spouse must file a separate Form 1027 if both are requesting extensions.
• Penalties for filing late can be avoided if the form is filed by the due date and any owed amount is paid with the submission of the form.
• A copy of the completed form should be attached to the front of your Delaware tax return when it is filed.
• If a further extension beyond October 15th is required, a photocopy of the approved Federal extension should be filed with the Delaware Division of Revenue by the Federal extension's expiration date.