Whether your business is the law, or a business with accounting or asset protection needs, our business has been "solving clients' problems" since 1977.

The Treasury Department and IRS have officially announced the federal income tax filing and payment due date is extended from April 15, 2020, to July 15, 2020.

Included in this extension are all federal taxes that are usually due on April 15,  which include annual individual income taxes, corporate taxes, fiduciary taxes and gift taxes, as well as first-quarter estimated income taxes (but not second-quarter estimated income taxes due June 15) and foreign bank and financial account reports (FBAR).

Taxpayers can defer both federal income tax filing and payments due during this time without penalties and interest, regardless of the amount owed. This deferment applies to all taxpayers, including individuals, trusts and estates, corporations, and other non-corporate tax filers as well as those who pay self-employment tax.

However, the IRS is still issuing tax refunds during this time. We’re also hard at work during this time, taking the information you provide us and forming smart tax strategies, so don’t delay just because you can. The more time you allow for careful planning, the better off you’ll be.

It’s also important to understand that this extension may not include state and local tax deadlines, like state sales and use taxes. Each jurisdiction is handling those taxes independently. While several states are following the federal announcement regarding the filing and payment of personal and business income taxes, you should confirm the deadlines with each state in which you file a return. For instance, the Texas Comptroller has not yet adjusted monthly sales tax deadlines. But if you’re unable to pay, some assistance in the form of short-term payment agreements and waivers of penalties and interest may be available if you contact them through their Enforcement Hotline at 800-252-8880.

You can stay on top of additional IRS changes related to the COVID-19 virus on the agency’s special coronavirus page on IRS.gov and keep an eye on our blog for important updates as well. For questions regarding your specific tax situation, feel free to contact us.

Photo via 123rf.com

How useful was this post?

Click on a star to rate it!

Average rating 5 / 5. Vote count: 1

No votes so far! Be the first to rate this post.