The U.S. Treasury Announcement: March 21, 2020
The U.S. Treasury Announcement: The Federal Income Tax Filing Due Date is Automatically Extended from April 15 to July 15
We hope this finds you well, as we indeed currently live in unusual times.
Recent updates to the Federal Income Tax Filing Dates were changed. Following our commitment to keeping you informed we wanted to briefly update you on some recent developments in the tax and business realm.
- Last weekend (IRS, 03.21.2020) the US Treasury announced that the federal income tax filing due date is automatically extended from April 15 to July 15. The previously announced extension of time to pay 2019 income taxes due and first-quarter estimates for 2020 remains in effect. We will continue to work diligently to get returns processed as quickly as possible for you. Please make sure we have all the necessary information and documents to us if you haven’t already. Note: the payment extension also applies to other taxes that may be due on April 15. The date to make 2019 IRA contributions has also been extended to July 15. Please call us with specific questions about the due dates.
While many states conform to the Federal due date extension, some states may not. Please refer to the state conformity tracker for up-to-date information on your state. The link to this PDF Document identifies Tax Filings and Tax Payment Relief Tracker for all 50-States (2020 COVID-19 Tax Filing and Tax Payment Relief Tracker as of 3/23/20 by Laura Tierney, Wolters Kluwer)
- The US Treasury also announced that taxpayers could take advantage of two new refundable payroll tax credits, designed to immediately and fully reimburse them, dollar-for-dollar, for the cost of providing Coronavirus-related leave to their employees under the Families First Coronavirus Response Act passed last week. The act provides that employers and tax-exempt organizations with fewer than 500 employees that are required to provide emergency paid sick leave and emergency paid family and medical leave under the Act will be able to claim credits based on the qualifying leave they provide between the effective date and Dec. 31, 2020. Equivalent credits are available to self-employed individuals based on similar circumstances. For more details, please follow this link to download a Word Document of the Families First Coronavirus Response Act (Credit: Wolters Kluwer).
- The Small Business Administration (SBA) provides long-term, low-interest rates to any business in a declared disaster zone. These loans can be used to recover from the destruction of property after hurricanes and similar events, but it is also possible to request a loan to recover from economic injury due to COVID-19. Please see www.cpadudes.com for more information.
- Congress continues to work on the $1Trillion+ “phase three” legislation designed to provide economic stimulus and specific relief to individual taxpayers, and heavily affected industries. We will update you as soon as the final bill is passed.
Note: the payment extension also applies to other taxes that may be due on April 15. The date to make 2019 IRA contributions has also been extended to July 15. Please call us with specific questions about due dates.
Please contact us at Morris + D’Angelo with any further questions and/or concerns you may have.
Please, be safe and be healthy.
Partner, Morris + D’Angelo
Feature: Mattia Panciroli and David Stewart, Inset (right): Lorie Shaull
Steven Geller provides and integrates high-level tax planning, international compliance, and consulting solutions. He leads the firm’s practice areas surrounding Estate and Trust, Real Estate including pre/post-development structuring, Tax-Deferred Exchanges, and Multi-Generational Transfers.
If you would like Steven to speak to you or your Professional Group and bring clarity about the new developments in your Professional arena, please contact us.
Morris+D’Angelo is the industry leader for many High-Wealth Customers and Organizations.
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