On March 17th the IRS issued a statement that the federal income tax filing due date for individuals for the 2020 tax year will be automatically extended to May 17, 2021. While we await further guidance from the IRS, below are several key points based off of what we know as of now:
This is for Individual Filers
The initial statement did not include businesses or fiduciary returns (Forms 1120 or 1041), nor does it include gift tax return Form 709. While this may change if further guidance is released, as of this writing, the statement only identifies individual filers.
This is an Automatic 4-Week Extension
Individual taxpayers do not need to file any forms or call the IRS to qualify for this automatic federal tax filing and payment relief. If you need to file beyond the May 17th date, you must follow the normal extension process, and file Form 4868.
Q1 Estimated Payments are still due April 15th
This relief does not apply to estimated tax payments that are due on April 15, 2021. First quarter 2021 federal estimated tax payments are still due on the original April 15 due date. In general, estimated tax payments are made quarterly to the IRS by people whose income is not subject to income tax withholding, including self-employment income, interest, dividends, alimony or rental income.
All of the information above is current as of March 18th at 11:00am EST. We expect additional guidance to be issued soon and possible updates from each state. We encourage you to reach out to your YHB team member with questions.
Check out our COVID-19 resources page for additional updates and information.