On October 30, 2024, North Carolina’s Office of Administrative Hearings issued a change to the extension of time to file, effective for tax years beginning on or after January 1, 2025.
The Bottom Line
For tax years beginning on or after January 1, 2019, a corporate taxpayer will automatically be granted an extension to file their North Carolina franchise and/or income tax return if the taxpayer receives an automatic federal extension to file and must indicate accordingly on the state return.1
Alternatively, the taxpayer may file Form CD-419, Application for Extension for Franchise and Corporate Tax, by the original due date to receive a North Carolina-specific extension to file.2
Please note that an extension of time to file does not extend the deadline to pay any taxes due, nor does it delay the assessment of penalties for failure to pay.3 However, an extension of time may still be granted even if the request for extension is submitted without a full payment of the taxes due.
The updated extension of time to file applies only to corporate income and franchise taxpayers including both C corporations and S corporations. Partnerships will continue to follow the six-month extension period.
Important Dates
The North Carolina franchise and corporate income tax returns are originally due on the 15th day of the fourth month from the end of the taxable year.
For tax years beginning before January 1, 2025, corporate taxpayers eligible for an extension are granted six months from the original due date to file the return.4
For tax years beginning on or after January 1, 2025, the new change grants corporate taxpayers a seven-month extension from the original due date to file the return.5