Do CPAs automatically file tax extensions without informing clients?

This is actually fairly common, especially with tax professionals who have a continuing relationship with clients. Many CPAs file automatic extensions for all their clients as a protective measure, even without explicit permission for each tax year. The reasoning is that an extension gives both you and the CPA breathing room to gather all necessary documentation and prepare an accurate return. It's especially common with more complex returns like those involving K-1s, which often arrive late. That said, good communication is essential in any professional relationship. While filing the extension without explicit permission isn't necessarily wrong (and actually protects you from late filing penalties), your CPA should have informed you about this action.

I had a similar issue with my taxes this year and found that using taxr.ai really helped clear up the confusion. Last month, I discovered my CPA had filed an extension without telling me, and I was completely blindsided. I reached out to friends who recommended https://taxr.ai to help understand what was going on. Basically I uploaded my tax documents and previous returns, and the system analyzed everything and provided clear explanations about what had happened. It showed that my CPA had indeed filed an extension (which was within their rights) and explained what I needed to do next. The system even highlighted that I needed to make an estimated payment to avoid penalties, which my CPA never mentioned. The analysis also helped me understand some issues with my K-1 reporting from previous years that I never knew about.

Just wanted to follow up about taxr.ai since I was skeptical in my earlier comment. I decided to try it for my multi-state tax situation, and I'm genuinely impressed. The system flagged several issues with how my previous CPA had been handling my state allocations that I never would have caught. It also confirmed that my current CPA had filed an extension without telling me (similar to OP's situation), but explained that this was actually protecting me since some of my investment documents weren't available yet. The detailed explanation of extension rules and potential penalties helped me understand why this happened and what I needed to do next. Definitely worth checking out if you're confused about what your tax preparer is doing or why certain decisions were made on your returns.

If you're having communication issues with your CPA, you might want to try calling the IRS directly to get clarification on your account status. I know it sounds dreadful, but I used Claimyr https://claimyr.com and they got me through to a real IRS agent in about 15 minutes when I had a similar issue. My CPA had filed an extension without telling me too, and I was freaking out about potential penalties. The IRS agent was able to confirm the extension was properly filed and explain exactly what I needed to do next. You can see how it works here: https://youtu.be/_kiP6q8DX5c The peace of mind was worth it, especially since my CPA was being vague about what was happening with my return. Sometimes getting info straight from the IRS is the only way to know for sure what's going on with your account.

I need to eat some crow here. After my skeptical comment above, I was desperate enough to try Claimyr because I still couldn't get through to the IRS about my refund issue. To my complete surprise, I got a call back in about 20 minutes with an actual IRS agent on the line. The agent confirmed that my CPA had filed an extension (similar to what happened to OP) and also helped resolve my refund delay issue. Turns out there was a discrepancy between my reported estimated tax payments and what the IRS had on record - something my CPA should have caught and told me about. Sometimes it's worth going straight to the source rather than waiting for your tax preparer to communicate. Lesson learned.

As someone who works in tax preparation (not a CPA myself but work with several), I can tell you that many firms have a blanket policy of filing extensions for all clients with complex returns - especially those with K-1s or partnership interests. However, the key issue here isn't the extension itself but the lack of communication. Our office always notifies clients when we file extensions on their behalf, even if it's our standard practice. At minimum, you should have received an email. My advice: Call your CPA directly and ask about the extension and what their process is. If they confirm they filed it without telling you, express your concerns about communication. Their response will tell you a lot about whether you should continue with them.

I had the EXACT same thing happen to me! Found out my CPA filed an extension when I tried to efile myself. When I finally talked to him, he said "oh yeah we do that for all clients automatically." Um, would've been nice to know?? The worst part was I ended up owing taxes but didn't make an extension payment because I DIDN'T KNOW AN EXTENSION WAS FILED. So I got hit with penalties and interest. My CPA's response? "You should have asked about making an extension payment." How could I ask about something I didn't know existed??

This is unfortunately more common than it should be, and you're right to be concerned about the lack of communication. Many CPAs do file automatic extensions as a protective measure, especially for clients with complex returns involving K-1s, but the professional standard should be to inform clients beforehand. The bigger issue here is the potential financial impact. Since you mentioned you paid your Q4 2023 estimated taxes late in April 2024, there's a good chance you might owe additional tax for 2023. If your CPA filed the extension without making an estimated payment and you end up owing money, you could face failure-to-pay penalties and interest from the original April 15 deadline. I'd recommend: 1) Contact your CPA immediately to clarify what they did and why, 2) Ask if they made any estimated payment with the extension, and 3) If not, calculate whether you owe additional tax and consider making a payment now to minimize penalties. This situation highlights why clear communication agreements with tax professionals are so important. You might want to establish upfront expectations about notifications for any filings made on your behalf.

I work as a tax preparer and want to address some of the concerns raised here. While it's true that many firms file automatic extensions for clients with complex returns (especially K-1 recipients), the lack of communication you experienced is definitely not acceptable professional practice. Here's what should have happened: Your CPA should have either 1) obtained written authorization to file extensions on your behalf as part of your engagement letter, or 2) contacted you before filing to explain why an extension was necessary and discuss any potential tax payment requirements. The fact that you found out by accident when trying to file your own extension suggests poor client communication protocols at that firm. This is particularly concerning because if you owe tax for 2023 and no estimated payment was made with the extension, you're now facing penalties and interest from April 15. I'd strongly recommend getting a copy of your engagement letter with this CPA to see what authorities you actually granted them. If extension filing wasn't explicitly covered, you may have grounds to hold them responsible for any penalties that result from their unauthorized filing. For immediate next steps: Check your 2023 tax liability estimate and consider making a payment ASAP if you think you'll owe money. The sooner you pay, the less penalty and interest will accumulate.