Your Morning Briefing – Wednesday March 25th…
I have been checking the New York Times Morning Briefing daily as well as my online accounting and business newsletters, the IRS and NYS website, et al, to see what’s going on with our country, our government, our economy, taxes and of course, the Coronavirus. Here’s the link for today’s NYT briefing
My team and I have also been researching valuable resources for loans, grants, and best health and business practices, that website landing page is on the way…
I am hosting 2 important live webinars this week with planned updates as needed and hope you can join me:
Thursday at 5:30 : Successful Personal Cash Flow Strategies During Times of Uncertainty
Sunday at 3:00 : Recommended for Business Owners: 90 Day Crises Action Plan
The following is a summary of important updates from the IRS (Q&A on filing and payment deadlines: I have edited this list as of March 30th for deadline updates
- Your 2019 personal tax return and balance due (if any) is extended until July 15th
- Only payments that are actually due on April 15 are delayed
- First quarter 2020 estimated income tax payments and Sec. 965(h) transition tax installment payments due April 15 are postponed until July 15.
- Second quarter estimates for individuals and calendar year corporations are still due June 15th
- Estate and Gift taxes have been extended (updated to current information)
- Payroll and excise taxes and information return filings are NOT extended
- Taxpayers who cannot file and pay their tax by July 15 should file for an extension giving them until October 15th to file, but the payment due date for the tax they estimate is due when they file the extension request, which they have until July 15 to do.
- IRA contributions for 2019 can be made until July 15. So you still have time for some 2019 tax minimization planning.
- 72(t) 10% additional tax on early distributions is now due July 15th
- Contributions to health savings accounts for 2019 can be made as late as July 15.
NYS has legislated to extend the April 15th filing and payment deadline as well (updated to current information)
The following are important updates from NYS on filing and payment deadlines (from their website as of 8:30 AM March 25th):
Tax Department response to novel coronavirus (COVID-19)
The New York State Tax Department, along with the Governor’s office and other agencies throughout the state, is responding to the spread of coronavirus (COVID-19) with information for those affected. We will update this page as new information becomes available.
Q & A
Are you extending deadlines to file or pay?
Sales tax payments and returns were due March 20, 2020; however, penalty and interest may be waived for quarterly and annual filers who were unable to file or pay on time due to COVID-19. See Tax relief for quarterly and annual sales tax vendors affected by COVID-19 to request relief from penalty and interest.
For guidance, see N-20-1, Announcement Regarding the Abatement of Penalties and Interest for Sales and Use Tax due to the Novel Coronavirus, COVID-19. https://www.tax.ny.gov/pdf/notices/n20-1.pdf
Resources:
- New York State Department of Health: Novel Coronavirus (COVID-19) New York State is Ready
- Paid Sick Leave for COVID-19 Impacted New Yorkers
- IRS: Coronavirus tax relief
- New York State Office of the Attorney General: Guidance on Coronavirus Resources and Warnings about Consumer Scams
- To learn more, sign up for coronavirus updates by email.
We know this is a difficult time for everyone, but please remember we are here to help. We can help you navigate the issues the virus and it’s impacts raises. If you have any questions or concerns at all, please don’t hesitate to get in touch. We can set up a phone call or online meeting as we continue to work remotely.