The IRS announced tax relief to individuals and business affected by Hurricane Sandy.
The IRS tax relief postponed various tax filing and payment deadlines. Hurricane Sandy victims have until Feb. 1, 2013 to file all tax returns and pay any taxes due. Tax payments and tax returns, include but are not limited to, fourth quarter individual estimated tax payment, payroll and excise tax returns and accompanying payments for the third and fourth quarters. Additionally, tax-exempt organizations required to file Form 990 series returns has been postponed.
This tax relief will apply to those in the states of Connecticut, New Jersey, and New York. Other states could be added as the days pass and as FEMA assesses the needs.
Taxpayers do not have to contact the IRS to have their filing deadlines or payment due dates delayed, as long as they have a physical address in the FEMA declared disaster zone. Any tax penalties for late payments or late filings will be abated. Additionally, the IRS is waiving failure-to-deposit penalties for federal payroll and excise tax deposits normally due on or after the disaster area start date and before Nov. 26, if the deposits are made by Nov. 26, 2012.
If someone does not reside in the disaster zone, or if a business is not located in the disaster zone, there is still a possibility of tax relief. Anyone who uses tax professionals, CPAs, or bookkeepers located in Hurricane Sandy’s wake will also receive relief, but it will not be automatic. These taxpayers can contact the IRS at 866.562.5227 to plead their case.
The IRS is staying current on the situations surrounding Hurricane Sandy to make sure government progresses in a fair manner. This desire to serve should give taxpayers one less thing to worry about in the days and weeks ahead.
While they’re not helping with shelter, water and food, at least the IRS is providing relief so that people affected can focus on a return to normalcy.