Written by Thomson Reuters
The extension, detailed in Notice 2020-23, includes a variety of tax form filings and payment obligations due between April 1 and July 15. Extended are estimated tax payments due June 15 and the deadline to claim refunds from 2016. The extended deadlines cover individuals, estates, corporations and others. The notice also suspends associated interest, additions to tax, and penalties for late filing or late payments until July 15, 2020. Contact us for more information. Previously, the IRS postponed the due dates for certain federal income tax payments. The new guidance expands on the filing and payment relief.
The IRS is providing more details about the cash payments the government is making to ease the economic impact of the coronavirus (COVID-19). The tax agency announced that it will send letters to recipients about the payment within 15 days after the payments are made. For security reasons, the IRS explained that it plans to mail a letter to a recipient’s last known address. The letter will provide information on how the payment was made (for example, in a specific bank account) and how to report any failure to receive the payment. The cash payments are being made to eligible people under a certain adjusted gross income threshold. For more information: https://bit.ly/2Vg3qkQ
Although the federal income tax filing deadline has been extended to July 15, many taxpayers are still filing their returns to make the April 15 deadline. The IRS reports that, as of April 3, it had received over 97.4 million tax returns and issued over $213 billion in refunds. The tax agency also is reminding taxpayers to use electronic filing options during the coronavirus (COVID-19) crisis. In addition to keeping taxpayers from having to physically mail tax returns, the IRS says electronic filing will help speed processing, refunds and payments.