COVID-19: Important State and Federal Tax Updates
Updated: Mar 18
*All information as of the morning of March 18, 2020. We will continue to update as more information becomes available.
In response to the COVID-19 pandemic the IRS and State governments are providing relief to taxpayers by extending certain deadlines to pay and file tax returns.
The IRS has granted a 90-day deferral, interest and penalty free, on up to $1 million of taxes for individuals and $10 million for corporations. This does not extend the April 15 filing deadline of your taxes. If you and your business do need more time to file one of our tax professionals can assist you in preparing an extension.
The State of California and its taxing authority, The Franchise Tax Board (FTB), announced that it will extend the requirement to pay tax liabilities, interest and penalty free, for individuals to June 15, 2020.
Additionally, the FTB has also moved various tax filing and payment requirements. This includes:
Partnerships and LLCs who are taxed as partnerships whose tax returns are due on March 15 now have a 90-day extension to file and pay by June 15.
Individual filers whose tax returns are due on April 15 now have a 60-day extension to file and pay by June 15.
Quarterly estimated tax payments due April 15 now have a 60-day extension to pay by June 15.
For a list of all other state filing guidance please visit https://www.aicpa.org/content/dam/aicpa/advocacy/tax/downloadabledocuments/coronavirus-state-filing-relief.pdf
If you have any other questions regarding tax filing deadlines and payment extensions, please feel free to contact one of our tax experts.
Kermith Boffill, Partner
Jeff Leonard, Partner
Eddie Shamas, Partner
Rachel Rojany, Director