On June 23, 2020, the IRS announced in a press release that it will extend the deadline for tax filings for persons and businesses affected by tornados, storms and floods in parts of Mississippi, Tennessee and South Carolina. As of the date of the press release, this relief is extended to people living in the following counties: Clarke, Covington, Grenada, Jasper, Jefferson Davis, Jones, Lawrence, Panola and Walthall counties in Mississippi; Bradley and Hamilton counties in Tennessee; and Aiken, Barnwell, Berkeley, Colleton, Hampton, Marlboro, Oconee, Orangeburg and Pickens counties in South Carolina. This relief automatically extends to people and businesses in others areas designated by the Federal Emergency Management Agency (FEMA) as qualifying for such assistance. The deadline to file personal and business tax returns, and to pay taxes, will be extended from July 15, 2020, to October 15, 2020.>
In addition to the tax deadlines, the extension applies to 2019 IRA contributions, estimated tax payments for the first two quarters of 2020, and the third quarter estimated tax payment normally due on September 15. It also includes the quarterly payroll and excise tax returns normally due on April 30 and July 31.
In addition, penalties on payroll and excise tax deposits due on or after April 12 and before April 27 will be abated as long as the deposits were made by April 27.
This extension will apply to various employee benefit filing requirements. For example, the Form 5500 due date for calendar-year plans could likely be extended. Employers in affected areas should be aware of these deadline extensions, and work with service providers to take advantage of the extension. Other employers should keep an eye on FEMA announcements in the event that their county is included in the list in the future.
Source: NFP BenefitsPartners