Section 45IAC15-6-1. Extensions

   (a) The department shall grant a taxpayer an extension for filing a tax return if:

(1) the taxpayer petitions the department before the original tax due date or obtains an automatic extension pursuant to IC 6-8.1-5-2(e); and

(2) the taxpayer includes a payment of at least ninety percent (90%) of the tax reasonably expected to be due on the due date or at least one hundred percent (100%) of the immediate prior year total tax liability.

  (b) For subdivision (2) above, the amount of tax "reasonably expected" to be due is defined as ninety percent (90%) of the ultimate tax due. Thus, the department shall determine if the taxpayer's payment was reasonable by using the final amount of tax owed for the tax year.

  (c) An extension to file a tax return is in no manner to be construed as an extension for the due date of payment of a taxpayer's liability for a tax year.

  (d) A proper extension to file a tax return will only have the effect of foregoing the penalties imposed for failure to pay a listed tax. The taxpayer will still be liable for the statutory interest for any tax that remains unpaid during an extension period. (Department of State Revenue; 45 IAC 15-6-1; filed Oct 1, 1987, 1:30 pm: 11 IR 541)