Times are changing, but how many more changes and modifications will we continue to see? We'll see...
First, the payment deadline moves to July 15. Then, the IRS and Treasury pushed the tax filing deadline to July 15, which aligned the due dates for filing with the extension of time for payments.
Today, guidance came out to allow filers coping with the novel COVID-19 pandemic more time to prepare tax returns. But, it also removed the caps pertaining to the tax payments, to where we now have unlimited tax payment deferral for individuals and businesses.
Times are changing indeed. More to come.
State and local governments are rapidly following the lead of the federal government's Emergency Declaration on Coronavirus Disease 2019 (COVID-19) by providing relief from tax deadlines to Americans who have been adversely affected by the COVID-19 emergency. Many states have "piggybacked" the federal government's emergency measures, while other states have adopted their own relief measures. A few states have not changed the dues dates because their legislatures are not in session or able to convene, but they are expected to provide relief.
The various state tax administrators and officials are monitoring developments pertaining to the Coronavirus (COVID-19) and are issuing guidance. The states are responding in the following ways:
Click here to access the AICPA's State Tax Filing Guidance for the Coronavirus Pandemic. It provides the current filing guidance as well as links to the various states' websites. SOURCE: AICPA Coronavirus Resource Center
State income taxes are not the only taxes being affected and/or addressed as a response to the COVID-19 emergency. Other taxes and fees including both filing deadlines and payment deadlines are impacted as well, including but not limited to:
Please consult with the taxing authority's website to provide guidance as to when the filing and payment of your tax obligations are due and payable.
We have also encountered issues and questions regarding next steps in audits, protests, notices, etc. as it becomes increasingly difficult to access data or state and local tax departments. Some states have addressed this concern, and some have not. In addition, as states cash concerns grow, if state audits are open, it may be a good time to reach a favorable audit settlement.