With a major portion of Houston and surrounding areas under water and devastated, the Internal Revenue Service (IRS) has announced significant tax relief for victims of Hurricane Harvey.
Those in Texas who have been affected by the storm have until January 31, 2018, to file certain individual and business tax returns and make certain tax payments. This includes an additional filing extension for taxpayers with valid extensions through October 16, and businesses with extensions through September 15.
So, while you’re making efforts to get your lives together again, I include myself in this, here’s what the relief entails: tax filing and payment deadlines which began starting on August 23, 2017, will be pushed off until January 31, 2018. What this specifically means is that returns and payments that were originally due during this period, including the September 15, 2017, and January 16, 2018, deadlines for making quarterly estimated tax payments, will now be January 31, 2018. This also includes returns on extension.
Remember, however, that the extensions are an extension of the time to file, not the time to pay, so payments for 2016 tax returns are still keyed to the April 18, 2017, due date. Relief also includes a waiver of late-deposit penalties for federal payroll and excise tax deposits normally due on or after October 31, 2017. The IRS is waiving late-deposit penalties for federal payroll and excise tax deposits normally due on or after August 23 and before September 7 so long as those deposits are made by September 7, 2017.
There is nothing that can make up for the losses suffered during Hurricane Harvey. But, at least the IRS is offering some consideration and consolation.
Have Questions? Contact Barry Fowler