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.

Key Takeaways

  • 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.
  • Refunds are not affected by the new policy.
  • States do not have to follow IRS guidelines for state taxes but many will.

You Don't Have to File 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." 

Moving tax day from April 15 to July 15 would seem to negate prior IRS guidance that you must submit an extension by April 15 in order to delay filing, at least until July 15. Future guidance by the IRS will be added to this article as available.

You Don't Have to Pay Until July 15

If you owe 2019 taxes to the IRS, or estimated Q1 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 accruie until July 16.

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.

Important

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, states that have either acted or indicated they would follow IRS guidance are listed below. You can contact your state’s tax authority or check the AICPA State Tax Filing Guidance document for updates. It’s likely that many states not listed below will jump on board and/or change their deadlines, perhaps more than once.

State Deadline Notes
Alabama July 15 All state returns
Alaska N/A No state income tax
California June 15 All state returns
Colorado July 15 All state returns
Connecticut June 15 State business returns
  July 15 State individual returns
Florida N/A No state income tax
Georgia July 15 All state returns
Indiana July 15 All state returns
Maryland July 15 All state returns
Massachusetts July 15 All state returns
    Waiving penalties for 6 mos
Michigan July 15 All state returns
Minnesota July 15 All state returns
Nevada N/A No state income tax
New Jersey July 15 All state returns
North Carolina   Offering penalty waivers
Ohio July 15 All state returns
Oregon July 15 All state returns
South Carolina July 15 All state returns
South Dakota N/A No state income tax
Texas N/A No state income tax
Washington N/A No state income tax
    Offering business extensions/waivers
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. As of Mar. 18, 2020