IRS extends more payment and filing dates

Bruce Claassen

April 10, 2020

Late on Thursday, the IRS granted additional broad tax filing and payment relief, in response to thee COVID-19 pandemic.  In Notice 2020-23, they provide relief to all taxpayers that have a filing or payment deadline falling on or after April 1, 2020, and before July 15, 2020, including individuals, trusts, estates, corporations, and other noncorporate tax filers.  The IRS will not assess any interest, penalty, or addition to tax for failure to file the forms specified in the notice during that period.

 

There is no need to file extensions, or send any documents to the IRS to obtain this relief - it is automatic.

  • Estimated taxes: Estimated tax payments normally due June 15 are postponed to July 15.  Estimated tax payments normally due April 15 were already extended to July 15 by Notice 2020-18.

  • Unclaimed 2016 refunds: The deadline for filing a 2016 tax return to claim a refund, normally April 15, is extended to July 15. 

  • American citizens living abroad: Americans who live and work abroad can now wait until July 15, 2020, to file their 2019 federal income tax return and pay any tax due.

  • Specified forms: Some of the Federal tax forms and payments covered by the relief include:

    • Form 1040, U.S. Individual Income Tax Return, and other forms in the 1040 series;

    • Calendar year or fiscal year corporate income tax payments and return filings on Form 1120, U.S. Corporation Income Tax Return, and other forms in the 1120 series;

    • Calendar year or fiscal year partnership return filings on Form 1065, U.S. Return of Partnership Income, and Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return;

    • Form 1041, U.S. Income Tax Return for Estates and Trusts, and other forms in the 1041 series;

    • Form 706, United States Estate (and Generation-Skipping Transfer) Tax Return, and other forms in the 706 series;

    • Form 709, United States Gift (and GST) Tax Return

 

Postponement of government acts
The COVID-19 pandemic has made it difficult for IRS employees, taxpayers, and others to access documents, systems, or other resources due to office closures or state and local government executive orders restricting activities.  So, the notice also gives the IRS additional time to perform certain time-sensitive acts. Those taxpayers include taxpayers under examination, those with cases with the Independent Office of Appeals, and those who submit amended returns or submit payments with respect to a tax for which the assessment period would expire on or after April 6, 2020, and before July 15, 2020.

 

The IRS earlier provided filing and payment relief in Notice 2020-18, but that relief had applied only to federal income tax returns and payments (including self-employment tax payments) due April 15, 2020, for 2019 tax years, and to estimated income tax payments due April 15, 2020, for 2020 tax years. Notice 2020-18 explicitly did not apply to any other type of federal tax or to any federal information returns. 

 

If you have questions about how this relief may apply to you, feel free to give us a call.