The problem with adding the $1 is that the 7004 instructions say that:

"The extension will be granted if you complete Form 7004 properly, make a proper estimate of the tax (if applicable), file Form 7004 by the due date of the return for which the extension is requested, and pay any tax that is due."

So if we don't pay the $1 for each of our clients extensions that it may not be a valid extension.

We have had numerous issues with the IRS correctly logging multiple extension when paper filing extensions so we don't trust that option. This is very frustrating to find out about this change 2 days before the due date.