IRS grants tax relief to individuals who reside or have a business in areas impacted by Hurricane Florence. Affected areas include: Beaufort, Brunswick, Carteret, Craven, New Hanover, Onslow, Pamlico and Pender.
The IRS may add additional counties in the coming days. The current list of eligible counties is available on the disaster relief page on www.irs.gov.
Florence Victims Get Tax Relief
Individuals and businesses have until January 31, 2019, to:
- Make estimated tax payments due on September 17, 2018; and
- File quarterly payroll and excise tax returns normally due on September 30, 2018.
Extended Filing Dates
Individuals with filing extensions have until January 31, 2019, to file their 2017 returns. The payment extension does not apply to tax payments originally due on April 18, 2018.
Calendar-year businesses with filing extensions have until January 31, 2019 to file. This includes:
- Partnerships and S corporations whose 2017 extensions run out on September 17, 2018;
- C corporations whose 2017 extensions run out on October 15, 2018, and
- Tax-exempt organizations whose 2017 extensions run out on November 15, 2018.
Waiver of Late Deposit Penalties
The IRS will waive late-deposit penalties for payroll and excise tax deposits due on or after September 7, 2018. However, the IRS will abate the penalty only if the deposits are made by September 24, 2018.
Automatic Extensions in Disaster Areas
The extended filing and payment deadlines are automatic for any taxpayer with an IRS address in the disaster area. Thus, these taxpayers do not have to contact the IRS to qualify for the extended deadlines. An affected taxpayer who receives a late filing or late payment notice should contact the IRS at 866-562-5227.
Taxpayers Outside the Disaster Area
The IRS will work with other taxpayers who are affected by the disaster even if they live outside the disaster area. Therefore, these taxpayers should contact the IRS if they:
- Have tax or business records in the affected area; or
- Are assisting relief activities and are affiliated with a recognized government or philanthropic organization.
If you think you may qualify for an extension or have questions, contact an MCB Tax Advisor at 703-218-3600 or click here. To review a summary of recent tax news articles, click here. To learn more about MCB’s tax practice and our tax experts, click here.