Federal Tax Guidelines – Filing Date Pushed Back

As a result of the COVID-19 pandemic, the Internal Revenue Service (“IRS”) has postponed the April 15, 2020 federal income tax filing deadline. July 15, 2020 is the new deadline for both income tax filings and income tax payments to the IRS.

What does this mean for you?

• All tax forms and payments for persons, estates, partnerships, associations, companies, and corporations are due July 15, 2020. The extension also applies to self-employed individuals.
• However, filings that were due March 16, 2020 have not been postponed, such as those for Form 1065, Form 1065-B, Form 1066, and Form 1120-S.
• All tax payment can be postponed until July 15; taxpayers may disregard previously announced limitations on this deferral.
• During this 90-day extension, penalties and interest on 2019 income taxes will not accrue. The clock will begin again on these accruals as of July 16, 2020.
• For taxpayers who file quarterly returns, the deadline for 2020 first quarter estimated payments is also extended to be July 15, 2020.
• IRA and HSA contributions have also been extended to July 15, 2020.

Although the filing deadline has been extended, the IRS has assured that it will continue to process returns as they are filed, so refunds are anticipated to be issued timely.

Considering Illinois has yet to announce a new schedule for tax payments, and it is unclear how this will affect the regular six-month extension deadline, this is still a fluid situation. We will continue to monitor this matter and provide updates when appropriate. For more information contact the attorneys at Rock Fusco & Connelly, LLC.