I hope you and your family are healthy and safe and practicing social distancing. Here are the latest updates. Please let me know if you have any questions or if we can help with anything:
The IRS and Federal Taxes:
The Internal Revenue Service (IRS) released Notice 2020-18, clarifying Treasury Secretary Mnuchin’s announcement regarding the federal tax deadline. The notice states the following:
- All 2019 income tax returns for individuals, trusts, estates, partnerships and corporations no longer need extensions to be filed by April 15, 2020. The new due date of those returns is automatically extended to July 15, 2020.
- All 2019 deferred income taxes originally due on April 15, 2020 are now due on July 15, 2020.
- All first quarter 2020 estimated taxes originally due on April 15, 2020 are now payable on July 15, 2020.
- All June 15, 2020 estimated tax payments are still due on June 15, 2020.
- There will be no interest and no penalties applied to any of the above payments made by July 15, 2020.
- There are no limitations to the payment amounts taxpayers can defer.
The IRS did not include the April 15, 2020 filing due date for 2019 Gift Tax Returns in its Notice. We will let you know if and when any changes are made regarding this item.
We have not seen authoritative confirmation that New York State’s income tax filing deadline will be moved to July 15. “The (state) deadline is the federal deadline,” Gov. Andrew Cuomo’s Budget Director Robert Mujica, said during a news conference Friday, March 20. We will let you know if and when this is confirmed.
State Tax Information:
In addition, here are some links for state developments from the American Institute of Certified Public Accountants (AICPA):
For state tax developments related to the coronavirus outbreak:
The IRS released more information about the Families First Coronavirus Response Act (Act):
Other Tax Information:
We are monitoring all news and will send you any specific information you need to know as it becomes available. At the same time, rest assured we are still working to complete all projects in a timely manner.
If you will be getting refunds, we understand that you will want to file as soon as possible. We strongly recommend that you consider having your refunds directly deposited into your bank account so you won’t have to go to the bank.
May you all of you stay well during this time. As New York City has issued “Stay at Home Orders,” our staff is now operating remotely and available to speak to you by telephone, email or Skype as you need.
Steven B. Zelin, CPA
Managing Member, Zelin & Associates CPA