Can i file extension although i filed taxes already?

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Topic Author
misterno
Posts: 489
Joined: Sat Mar 08, 2014 7:55 am

Can i file extension although i filed taxes already?

Post by misterno » Wed Apr 17, 2019 9:54 am

On april 15 i filed my taxes and invested in ira thru vanguard the same day

On april 16, vanguard emails me saying i did not choose checking account but mm fund to fund the purchase.

I called next day ti correct the pro lem but ira should be funded until 15th and technically i am late

Vanguard csr said i need to file extension with irs. Am i missing something?

lakpr
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Joined: Fri Mar 18, 2011 9:59 am

Re: Can i file extension although i filed taxes already?

Post by lakpr » Wed Apr 17, 2019 9:59 am

If taxes are already filed, you need to file an amendment. You have 3 years to file such an amendment. The Vanguard rep might be assuming you haven’t filed taxes yet.

Edit: I am not sure if what Vanguard says is true about contributions showing up as if April 15th. You might want to wait and see how really that shakes out before going with 1040X. I am afraid you have missed the IRS deadline to contribute to IRA for 2018. You might find those funds returned to you checking account or money market in a few days

quantAndHold
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Re: Can i file extension although i filed taxes already?

Post by quantAndHold » Wed Apr 17, 2019 10:03 am

I believe, even if you file an extension, the IRA needs to be funded by April 15.

If you need to alter your taxes because you missed he contribution deadline, you file an amended return.

Alan S.
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Location: Prescott, AZ

Re: Can i file extension although i filed taxes already?

Post by Alan S. » Wed Apr 17, 2019 12:55 pm

quantAndHold wrote:
Wed Apr 17, 2019 10:03 am
I believe, even if you file an extension, the IRA needs to be funded by April 15.

If you need to alter your taxes because you missed he contribution deadline, you file an amended return.
Most IRA custodians use the IRS "postmark rules", which allows an IRA contribution postmarked by the due date (4/15 in most states) to be accepted, even though not deposited by 4/15. While this applies to contributions to existing IRA accounts, and most likely to new IRA accounts if a completed application is also received by that date, if the application is incomplete you would probably be out of luck.

Suggest waiting until 4/22 before checking on the status.

Topic Author
misterno
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Joined: Sat Mar 08, 2014 7:55 am

Re: Can i file extension although i filed taxes already?

Post by misterno » Wed Apr 17, 2019 3:01 pm

Let me clarify

The return was correct. It is just that the sep ira contribution wasl made 1 day late. So the tax return was done on time on 15th, the ira contribution was done on 16th so it is 1 day late. Should i file the amendment or should i cancel transaction then amend the return and then make the contribution?

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RickBoglehead
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Re: Can i file extension although i filed taxes already?

Post by RickBoglehead » Wed Apr 17, 2019 3:04 pm

misterno wrote:
Wed Apr 17, 2019 3:01 pm
Let me clarify

The return was correct. It is just that the sep ira contribution wasl made 1 day late. So the tax return was done on time on 15th, the ira contribution was done on 16th so it is 1 day late. Should i file the amendment or should i cancel transaction then amend the return and then make the contribution?
You cannot contribute a day late. Period. Suggest you get the contribution refunded.
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Topic Author
misterno
Posts: 489
Joined: Sat Mar 08, 2014 7:55 am

Re: Can i file extension although i filed taxes already?

Post by misterno » Wed Apr 17, 2019 3:28 pm

Talked to vanguard again

Because i attempted the transaction on the 15th, system coded the transaction as 2018 contributuon. Trade date is 16th but this is fine because i made the contribution when the markets were closed anyway.

They said as long as it is coded as 2018 contribution i am fine.

And yes they are not tax professionals i know. But it made sense to me

MSUBobcat
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Re: Can i file extension although i filed taxes already?

Post by MSUBobcat » Wed Apr 17, 2019 5:29 pm

misterno wrote:
Wed Apr 17, 2019 3:01 pm
Let me clarify

The return was correct. It is just that the sep ira contribution wasl made 1 day late. So the tax return was done on time on 15th, the ira contribution was done on 16th so it is 1 day late. Should i file the amendment or should i cancel transaction then amend the return and then make the contribution?
SEP IRA contribution rules are different from traditional IRAs. Traditional IRAs are 4/15 period. You have until the due date (or extended due date) to establish and fund a SEP IRA, hence why the guy told you to file an extension which would extend your contribution cut off date to 10/15/2019.

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