The IRS expands COVID19 relief by postponing the 15 April tax return filing deadline by 90 days for all taxpayers
On 20 March 2020, the IRS issued Notice 2019-18 that superseded and expanded the scope of previously issued Notice 2018-17. The effect of the new notice is that all income tax returns that are usually due on 15 April can be filed by 15 July without being subject to late filing penalties.
In addition to postponing the filing deadline, the IRS also removed the tax liability thresholds that were previously limiting the relief to individual taxpayers owing less than $1,000,000 and corporate taxpayers owing less than $10,000,000. This way, all taxpayers regardless of the amount they owe have until 15 July 2020 to both file their 2019 tax return and pay their 2019 balance due. The postponement also applies to the 2020 first quarterly estimated tax payment.
More and more States have announced their intention to adopt the federal deadlines or have already published their own relief measures. The American Institute of Certified Public Accountants (AICPA) is actively monitoring the States’ formal position on conformity. An up to date chart detailing each individual state’s position can be found here.