The Internal Revenue Service (IRS) has extended the federal tax deadline for individuals from April 15, 2021, to May 17, 2021. Let’s break down how this impacts tax filing for 2020:
Individual Taxes: Individual taxpayers are now granted a one-month extension (from April 15 until May 17) to file 2020 federal tax returns and pay outstanding levies. If additional time is needed, taxpayers have until May 17, 2021, to work with their tax professionals and request an extension.
2021 Estimated Payments: First quarter 2021 estimated payments have not been extended. If you are expected to make an estimated payment on April 15, 2021, you should plan to make this payment on time.
State and Local Taxes: While the federal tax deadline for individuals has been extended, the deadline does not apply to state or local tax returns. We will continue to follow how state and local governments react to the IRS deadline change.
Corporation, Estate, Trust, and Gift Tax Returns: At this time, no extensions have been announced for taxpayers other than individuals. Calendar year corporation, trust, estate, and gift tax returns continue to be due April 15, 2021.
Additional Guidance on the Way
The IRS has indicated that additional information will be released in the coming days. We are monitoring developments and their implications closely and will provide additional updates as guidance is released.
Please call us with any questions. We are here to help.