- Relief for Taxpayers Affected by Ongoing Coronavirus Disease (IRS): Notice 2020-18
This filing and payment relief includes:
The 2019 income tax filing and payment deadlines for all taxpayers who file and pay their Federal income taxes on April 15, 2020, are automatically extended until July 15, 2020. This relief applies to all individual returns, trusts, and corporations. This relief is automatic, taxpayers do not need to file any additional forms or call the IRS to qualify.
This relief also includes estimated tax payments for tax year 2020 that are due on April 15, 2020.
Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020. You will automatically avoid interest and penalties on the taxes paid by July 15.
- Treasury, IRS and Labor announce plan to implement Coronavirus-related paid leave for workers; tax credits for small and midsize businesses (IRS)
- IRS closes Taxpayer Assistance Centers; discontinues face-to-face service (IRS)
- Coronavirus Tax Relief webpage
As of March 18: State Postpones Tax Deadlines Until July 15 Due to the COVID-19 Pandemic—FTB is postponing until July 15 the filing and payment deadlines for all individuals and business entities for:
- 2019 tax returns;
- 2019 tax return payments;
- 2020 1st and 2nd quarter estimate payments;
- 2020 LLC taxes and fees; and
- 2020 Non-wage withholding payments.
To give taxpayers a deadline consistent with that of the IRS without the federal dollar limitations, FTB is following the federal relief described in Notice 2020-17. Since California conforms to the underlying code sections that grant tax postponements for emergencies, FTB is extending the relief to all California taxpayers. Taxpayers do not need to claim any special treatment or call FTB to qualify for this relief.
Employers statewide directly affected by COVID-19 may request up to a 60-day extension of time from the EDD to file their state payroll reports and/or deposit payroll taxes without penalty or interest. This extension may be granted under Section 1111.5 of the California Unemployment Insurance Code (CUIC). A written request for extension must be received within 60 days from the original delinquent date of the payment or return. Read more.
During the 60 day window specified in the governor’s Executive Order N-25-20, the CDTFA has been able to make it easier for taxpayers to request relief. They can go through the normal online process, send a letter or contact the CDTFA call center at 1-800-400-7115.
As directed in Section 6 of Executive Order N-25-20, is developing guidance and will be releasing it soon.
The U.S. Small Business Administration opened up federal disaster loans for businesses, private nonprofits, homeowners and renters in response to California’s declaration of emergency. Small businesses can apply now through Dec. 16, 2020, for assistance.
U.S. Office of Management and Budget (OMB) Memo on Single Audits
The AICPA Governmental Audit Quality Center issued an alert on guidance from the OMB and the Department of Education related to single audits of entities that receive Federal financial assistance to address COVID-19.
passed an $8 billion emergency aid package to provide resources for federal
agencies ramping up responses to COVID-19.
In a second package Congress is poised to pass H.R. 6201, the Families First Coronavirus Response Act. The multibillion-dollar package will include free testing, 14 paid sick days for employees, as well as three months of paid emergency leave throughout the coronavirus crisis. Employer costs will be offset by tax credits. The package also includes support for support for programs that provide food for children and seniors impacted by the crisis.
Governor Issues Stay-at-Home Executive Order