Treasury and IRS Updates Amid COVID-19

 

We at Smolin hope that you and your families are all safe and healthy!

Years ago, Smolin implemented a system that  enables workflow to occur remotely and seamlessly from wherever we are. During these unprecedented times, we’ve been using these systems with great success, allowing our team members to safely work and practice social distancing.

We want our clients to know that we continue to provide you with excellent service and your Smolin team is hard at work to meet your needs and deadlines.

As part of our commitment to you, we’ll be sending you important updates on changes being made by the Treasury as well as our State governments as this continues to evolve.

 

LATEST FROM THE TREASURY & IRS


Treasury and IRS Issue Guidance on Deferring Tax Payments Due to COVID-19 Outbreak

The Treasury Department and the IRS are providing special payment relief to individuals and businesses in response to the COVID-19 Outbreak. The filing deadline for tax returns remains April 15, 2020.
This payment relief includes:

  • Individuals: Income tax payment deadlines for individual returns, with a due date of April 15, 2020, are being automatically extended until July 15, 2020, for up to $1 million of their 2019 tax due. This payment relief applies to all individual returns, including self-employed individuals, and all entities other than C corporations, such as trusts or estates. IRS will automatically provide this relief to taxpayers. Taxpayers do not need to file any additional forms or call the IRS to qualify for this relief.
  • Corporations: For C corporations, income tax payment deadlines are being automatically extended until July 15, 2020, for up to $10 million of their 2019 tax due.
  • This relief also includes estimated tax payments for tax year 2020 that are due on April 15, 2020.

LEARN MORE ABOUT SPECIAL PAYMENT RELIEF

High Deductible Health Plans (HDHPs) to cover coronavirus costs

The Internal Revenue Service (IRS) has announced that high-deductible health plans (HDHPs) can pay for 2019 Novel Coronavirus (COVID-19)-related testing and treatment, without jeopardizing their status. This also means that an individual with an HDHP that covers these costs may continue to contribute to a health savings account (HSA) .

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IRS Creates Coronavirus Tax Relief Website

The IRS has created a website dedicated to the COVID-19/Coronavirus, focused on steps to help taxpayers, businesses, and others affected by the virus.

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