We Have the Long-Awaited News About Who Will Control the Minnesota State House
60 Minutes Reporter Who Told Trump Hunter's Laptop Can't Be Verified Afraid Her...
Wait, Is Joe Biden Even Up to Sign the New Government Spending Bill?
Van Jones Has Been on a One-Man War Against the Dems
Van Jones Clears the Air About Donald Trump With a Former CNN Editor,...
Whoopi Goldberg Shares an Insane Theory About Trump, Vance, and Elon Musk
When in Charge, Be in Charge
If You Try to Please Everybody, You’ll End Up Pleasing Nobody
University of Arizona ‘Art’ Exhibit Demands Destruction of Israel
Biden-Harris Steered Us Toward Economic Doom; Trump Will Fix It
Argentina’s Milei Seems to Have Cracked the Code on How to Cut Government...
The Founding Fathers Were Geniuses
KJP Gets Absolutely Grilled By Reporters Over Biden 'Quiet Quitting' His Duties
Republicans Celebrate 'Huge Win' for Trump In Congress After Third Spending Bill Passes
Biden Admin Withdraws Proposed Title IX Sports Rule Change
Tipsheet

IRS Issues Guidance Over Deferred Tax Payments Due to Coronavirus

AP Photo/Susan Walsh

On Tuesday, Treasury Secretary Steve Mnuchin announced that U.S. taxpayers would be allowed to defer their 2019 tax payments for up to 90 days without interest or penalty due to concern over the coronavirus. The IRS issued further guidance on Wednesday about the 2019 tax payment deadline. 

Advertisement

The guidelines allow taxpayers to postpone tax payments, up to $1 million for individuals and $10 million for corporations, for 90 days without interest or penalty. The deferrable limits are the same for a single individual as for a married individual filing a joint return. The payment deadline for 2020 first-quarter estimated federal income taxes has also been deferred until July 15, 2020.

"As a result of the postponement of the due date for making Federal income tax payments up to the Applicable Postponed Payment Amount from April 15, 2020, to July 15, 2020, the period beginning on April 15, 2020, and ending on July 15, 2020, will be disregarded in the calculation of any interest, penalty, or addition to tax for failure to pay the Federal income taxes postponed by this notice," an IRS statement said.

While payments may be postponed until July 15, 2020, the deadline to file 2019 tax returns is still April 15, 2020. The extension applies only to federal income tax payments, as states set their own income tax payment deadlines. IRS penalties, interests, and any applicable tax additions will begin to accrue on July 16, 2020. 

Advertisement

Secretary Mnuchin said most Americans should file promptly since most individuals end up receiving a tax refund from the IRS. 

The Treasury secretary's move is aimed at providing Americans and businesses with much need liquidity, an expected $300 billion, for the coming months as the U.S. economy reacts to the drastic measures undertaken to help stop the spread of the coronavirus.

Join the conversation as a VIP Member

Recommended

Trending on Townhall Videos

Advertisement
Advertisement
Advertisement