The IRS has announced extended filing deadlines for persons affected by Hurricane Michael. Taxpayers in affected areas now have until Feb. 28, 2019, to file certain individual and business tax returns and make certain tax payments. Such relief is in effect for tax filings and payments with deadlines that occurred on or after Oct. 7, 2018. The IRS noted, that such relief is not applicable to tax payments that were due on the original due date of such tax returns.
The Feb. 28, 2019 deadline applies to quarterly estimated income tax payments due on Jan. 15, 2018, and quarterly payroll and excise tax returns due on Oct. 31, 2018 and Jan. 31, 2019. The new due date also applies to tax-exempt organizations, operating on a calendar-year basis, that had a valid extension due to run out on Nov. 15, 2018. Businesses with extensions also have the additional time including, among others, calendar-year corporations whose 2017 extensions run out on Oct. 15, 2018. In addition, penalties on payroll and excise tax deposits due on or after Oct. 7, 2018, and before Oct. 22, 2018, will be abated as long as the deposits are made by Oct. 22, 2018.
This filing relief is applicable to taxpayers in any Major Disaster Declaration area designated by FEMA. Currently, this includes the counties of Bay, Calhoun, Franklin, Gadsden, Gulf, Hamilton, Holmes, Jackson, Jefferson, Leon, Liberty, Madison, Suwannee, Taylor, Wakulla and Washington in Florida. Taxpayers in localities added later to the disaster area, including those in other states, will automatically receive the same filing and payment relief.
As a reminder, affected taxpayers are defined by the IRS in Reg. section 301.7508A-1(d)(1)). This definition includes:
- Any individual whose principal residence, and any business entity whose principal place of business, is located in the counties designated as disaster areas
- Any individual who is a relief worker assisting in a covered disaster area, regardless of whether he is affiliated with recognized government or philanthropic organizations
- Any individual whose principal residence, and any business entity whose principal place of business, is not located in a covered disaster area, but whose records necessary to meet a filing or payment deadline are maintained in a covered disaster area
- Any estate or trust that has tax records necessary to meet a filing or payment deadline in a covered disaster area
- Any spouse of an affected taxpayer, solely with regard to a joint return of the husband and wife
RSM will circulate any information from the IRS on disaster relief as soon as it is available. Taxpayers can also check the disaster relief page on the IRS website.
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