At the direction of President Trump, Treasury Secretary Steven Mnuchin announced, via Tweet, Friday, March 20, that the deadline to both file and pay 2019 Federal income taxes has been extended to July 15.
- The deadline to file and pay 2019 taxes has been extended to July 15.
- Penalties and interest will not accrue between Apr. 15 and Jul. 15.
- You can obtain an extension to file (not pay) until Oct. 15, 2020.
- Refunds are not affected by the new policy.
- States do not have to follow IRS guidelines for state taxes but most will.
You Don't Have to File or Pay Until July 15
According to Mnuchin, "At @realDonaldTrump’s direction, we are moving Tax Day from April 15 to July 15. All taxpayers and businesses will have this additional time to file and make payments without interest or penalties."
In updadted guidance issued April 9, 2020, the IRS said that if you owe 2019 taxes to the IRS, or estimated Q1 or Q2 2020 taxes, no payment is due until July 15. The new tax filing and payment deadline means interest and penalties for late filing or payment will not begin to accrue until July 16.
Extensions Available Until October 15
If you need more time to file beyond the July 15 deadline, you can request an extension to October 15, 2020 by filing Form 4868. Businesses that need additional time must file Form 7004. Remember that an extension of time to file is not an extension of time to pay. You need to estimate and pay any tax liability by July 15 or face additional interest and penalties.
Tax Refunds Continue
If you are expecting a refund, you can file immediately. In an earlier statement Mnuchin said, "We don’t want you to lose out on those tax refunds. We want you to make sure you get them. Many people do this electronically, which is easy for them and easy for the IRS."
The IRS is accepting and processing 2019 tax returns and encourages you to file electronically and use direct deposit to get your refund as quickly as possible. Refunds are not part of the new policy and the IRS gives you up to three years to request a refund, so the deadlines mentioned here are not applicable to refunds.
Interest and Penalties Will Not Accrue
Under normal circumstances, you must pay any taxes due by April 15 or you will incur penalties and interest. Even a request of an extension to file (Form 4868) doesn’t excuse you from paying without incurring those additional costs.
The effect of the new tax day deadline is that interest and penalties will not begin to accrue until July 16. Remember: The new deadline to file and pay do not constitute tax forgiveness, a form of tax relief available from the IRS. You will eventually have to file and pay.
The COVID-19 situation changes frequently. Check online, especially at IRS.gov for updates and guidance.
State Income Tax Deadlines
If you live in Alaska, Florida, Nevada, South Dakota, Texas, Washington, or Wyoming, state income tax is not an issue since your state has none. You only need to comply with federal and, if applicable, local tax deadlines. According to the AICPA and Tax Foundation, states that have either acted or indicated they would follow IRS guidance are listed below. You can contact your state’s tax authority for updates.
|Alaska||N/A||No state income tax|
|Colorado||July 15||State payment deadline|
|Oct. 15||State filing deadline|
|Connecticut||June 15||State business returns|
|July 15||State personal returns|
|Florida||N/A||No state income tax|
|Nevada||N/A||No state income tax|
|New Hampshire||June 15||State business returns|
|New Jersey||July 15|
|New Mexico||July 15|
|New York||July 15|
|North Carolina||July 15||Offering penalty waivers|
|North Dakota||July 15|
|Rhode Island||July 15|
|South Carolina||July 15|
|South Dakota||N/A||No state income tax|
|Texas||N/A||No state income tax|
|Virginia||May 1||State returns filing|
|June 1||State returns payment|
|Washington||N/A||No state income tax|
|Offering business extensions/waivers|
|Washington D.C.||July 15|
|West Virginia||July 15|
|Wyoming||N/A||No state income tax|
|Puerto Rico||April 15||For returns due in March|
|May 15||For returns due April 15|
Source: AICPA. Tax Foundation As of Apr. 11, 2020
Steven Mnuching. "Mar. 20, 2020 Tweet." Accessed Mar. 20, 2020.
IRS. "IR 2020-66." Accessed Apr. 11, 2020.
Whitehouse.gov. "Remarks by President Trump, Vice President Pence, and Members of the Coronavirus Task Force in Press Briefing." Accessed Mar. 18, 2020.
IRS. "2020 Tax Filing Season." Accessed Mar. 18, 2020.
IRS. "Statutes of Limitations, Processes, and Procedures." Accessed Mar. 18, 2020.
AICPA. "State Tax Filing Guidance for Coronavirus Pandemic." Accessed Apr. 11, 2020.
Tax Foundation. "State Coronavirus Tracker." Accessed Apr. 11, 2020.