You heard it here, you might love April 15th this year!
Because of the coronavirus pandemic, the IRS has postponed tax payments that would normally be payable with your 2019 tax return, which is to be filed on April 15, 2020. Also postponed are estimated federal income tax payments (including self-employment tax) which would ordinarily be due on April 15, 2020. The deferred due date for these payments is now July 15, 2020.
Please note your 2019 federal income tax return still must be filed by April 15, 2020 (or you may file for an extension).
For individuals the deferral for 2019 taxes is available for up to $1,000,000 (we hope you had that good of a year in 2019). Everything over $1,000,000 must still be paid on April 15, 2020. For C corporations, the limit is $10,000,000.
From April 15, 2020 until July 15, 2020 there will be no interest and no penalties owed on the deferred tax. Also there is nothing to file – just file the return and hold on to your money for three more months.
Call us if you have questions.
This post was written by LeRoy Metz