In a tweet Friday morning, March 20, 2020, Secretary of Treasury Steven Mnuchin announced that the IRS is moving the federal tax filing deadline from April 15, 2020 to July 15, 2020 due to the coronavirus outbreak.
Just three days ago, Mnuchin announced that the IRS would extend payment deadlines to July 15, 2020, but now the filing date has been moved as well. Taxpayers now have until July 15, 2020 to file their tax returns without any penalties or interest on their tax liability.
This announcement does not affect state tax filing deadlines. Taxpayers should check with their respective state as to whether their state tax deadline has also been delayed. For example, Virginia delayed the payment deadline (but not their filing deadline) for 2019 income taxes by 30 days, bumping the deadline to pay from May 1, 2020 to June 1, 2020.
Though the deadline has been moved, if you are expecting a refund on your tax return we encourage you to file your return now so that you get your refund as soon as possible. There are many reports circulating about what the government response to the pandemic might look like. But as of now it’s impossible to know – much less rely on – the steps they might take to make up for lost time, pay and more. One thing we do know, however, is that the IRS will process your refunds as quickly as possible. That extra cash in your pocket can go a long way while we as a country deal with this crisis.
If you are not expecting a refund, you can still file your return and you will not be penalized for waiting to pay. If you don’t know whether you’re getting a refund, it’s important to talk to a tax professional. They may be able to give you information on what to expect and when would be the best time for you to file.
Peoples Tax has a secure Virtual Tax ProSM Service on our website and a Drop-Off Tax Service at all three of our central Virginia locations. We are here serving all clients and encourage everyone to try our virtual tax service or drop-off tax service. If you choose one of these two options, we will continue to communicate with you by email and phone. Peoples Tax is here for you and we are committed to providing you with top-quality service, backed by our Triple Guarantee. If you have questions, please call us at (804) 204-1040, email us, or visit our website for more information.