Late in the evening on Friday, March 20, 2020, the Treasury Department and the IRS issued Notice 2020-18, restating and expanding relief provided in Notice 2020-17. Read on for the details of the expanded relief.
Notice 2020-18 provides guidance on how Affected Taxpayers may defer tax filings and tax payments due to the coronavirus (COVID-19).
Any person (individual, trust, estate, partnership, association, company or corporation per IRC §7701(a)(1)), with a federal income tax payment or a federal income tax return due April 15, 2020 is considered affected by the COVID-19 pandemic, and is an Affected Taxpayer.
For an Affected Taxpayer, the due date for filing federal income tax returns and making federal income and self-employment tax payments due April 15, 2020, is automatically postponed to July 15, 2020, without the need to file Forms 4868 or 7004 and without regard to the amount of the payment that is being postponed.
Previously, Notice 2020-17 provided limitations on the payment amounts that could be postponed ($1mm or $10mm for individuals and corporations, respectively). These limits no longer apply, expanding the relief granted under Notice 2020-18 to all Affected Taxpayers.
No extension is provided for the payment or deposit of any other type of federal tax, or for the filing of any federal information return.
TWO IMPORTANT NOTES:
This notice does not address or extend the due date for second quarter 2020 estimated tax payments due June 15, 2020, unless further subsequent relief is granted.
Many states and local municipalities are simultaneously providing, or have already provided, their own relief. See the State & Local Tax Resource Section of our COVID-19 Tax Resource Center for more information.
If you have any concerns about your tax filings related to this Notice, or anything relating to the coronavirus pandemic, e-mail our response team here.