The outbreak of COVD-19 has had effects on every aspect of our everyday lives, and taxes couldn’t be an exception.
Given the unprecedented circumstances, the Internal Revenue Service (IRS) has established a series of measures to offer relief to taxpayers who might experience difficulties filing and paying their taxes. The measures range from easing payment guidelines to postponing compliance actions.
Tax Day Is Now July 15
One of the most important actions undertaken by the IRS is extending the federal filing deadline for 2020. Instead of April 15, Tax Day is now July 15, regardless of the amount owed. You don’t have to contact the IRS or take any further action to take advantage of this extension, as it will be applied automatically.
If you need an extension in order to pay your taxes after July 15, fill form 4868. Businesses who need additional time must use form 7004. However, if you are due a refund, it’s important to file as soon as possible, since tax refunds are still being issued within 21 days.
People First Initiative
The IRS has put in place a series of provisions called The People First Initiative. The project will start April 1 and will run through July 15 and comprises several measures. For example, payments due during this period will be suspended for taxpayers under an existing Installment Agreement. Also, liens and levies (including any seizures of a personal residence) initiated by field revenue officers will be put on hold.
Government response to the COVID-19 outbreak is fluid, so the initiative will be reviewed in the future to adjust it in case circumstances should change.
Further Information, Stimulus Payment Checks
It’s important to stay updated about the most recent developments regarding taxes and the outbreak of COVID-19. The IRS has opened a section on its official website to provide information about these measures. You can check it here.
As for stimulus payment checks, the IRS has no official information available at the moment. The agency asks taxpayers to avoid calling and checking the website linked in the above paragraph instead.
At La Popular Insurance we are committed to offering you the best guidance when it comes to taxes and insurance. Our knowledgeable staff is trained and eager to provide you with the highest level of service regardless of the circumstances.
We are located in California, Contact us today by telephone (323-566-5063, 562-928-1960, 323-773-9793), email o through our social networks on Facebook, Twitter and LinkedIn to learn more about our expertise and our services.