On March 20, 2020, Treasury Secretary Steve Mnuchin announced that the IRS will extend the national income tax filing deadline by three months, to July 15, 2020, in response to the coronavirus pandemic.
Previously, the IRS had announced it would permit the postponement, without interest or penalty, of certain federal income tax payments until July 15, 2020.
Under the new guidelines, individual taxpayers may postpone payment of up to $1 million of federal income taxes without interest or penalty, and C corporations filing individual or consolidated returns may postpone payment of up to $10 million without interest or penalty. The postponed payment may be either final tax owed for tax year 2019, or first quarter estimated taxes for tax year 2020. Such payments will now be due on or before July 15, 2020.
On a state level, Ohio has said that state tax filing and payment timelines will mirror the federal rules, as they change.
Readers should be aware of COVID-19 tax and business scams. If you receive a call from the “United States Treasury,” the “Small Business Administration,” or some other person claiming to offer tax information or business assistance, such a call is likely a scam. The United States Treasury does not call taxpayers.
Like most issues with COVID-19, tax advice is changing rapidly, so be sure to consult your tax accountant for up-to-date information.
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