On March 21, 2020, Internal Revenue Service announced that the federal income tax filing due date is extended from April 15, 2020, to July 15, 2020. This is an automatic extension and there is no requirement to file any l forms or to call the IRS.

Individual taxpayers who need additional time to file beyond the July 15 deadline can request a filing extension by filing Form 4868 through their tax professional, tax software, or the Free File link on IRS.gov. Businesses who need additional time must file Form 7004.

Taxpayers can also defer federal income tax payments due on April 15, 2020, to July 15, 2020, without penalties and interest. There is no limit of the amount of tax payments that can be postponed. This deferment applies to all taxpayers, including individuals, trusts and estates, corporations, other non-corporate tax filers, and those who pay self-employment tax. Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020.

Please note that this relief only applies to federal income returns and tax (including tax on self-employment income) payments otherwise due April 15, 2020; it does not, however, apply to state tax payments or deposits or payments for any other type of federal tax. State filing and payment deadlines vary and are not always the same as the federal filing deadline.

The IRS urges taxpayers who are due a refund to file as soon as possible as tax refunds are being issued within 21 days.

A&C staff continues to monitor issues related to the COVID-19 virus and provide you with updated information. Please call A&C’s tax professionals with any questions at (469) 467-4660.