Due to COVID-19, there are important changes to 2019 tax filing rules. We know that filing taxes can be stressful, so please email or call us if you or your accountant have any questions. We’ll help you get answers, carefully and accurately, as always.
Markets are volatile and times are unprecedented. Our priority is to reassure and assist clients in any way we can. Here are some of the important tax deadline changes:
Filing & Payment Extensions
The 2019 federal filing and payment tax deadline has been extended to July 15, 2020, and all taxpayers and businesses will have this additional time to file and make payments without interest or penalties.
Most, but not all, states have also extended their filing deadlines. The American Institute of Certified Public Accountants is detailing all state tax deadline changes here.
Many tax preparers continue to do their work. Be sure to consult with your tax professional about the best timing for your tax filing.
If you’re expecting a refund, you may want to file sooner, rather than later.
If you need even more time to file your tax return, you can still file for an extension with an October 15, 2020 due date.
If you have already filed your taxes and owe, nothing needs to be done to avoid interest and penalties beyond making payment by July 15, 2020.
If you’ve already scheduled your tax payment for April 15th, there is a process by which you can cancel your payment and reschedule it for July 15. Please consult with your CPA.
Quarterly Estimated Payments
1st and second quarter payments are now due on July 15, 2020.
2019 Contributions Deadline Extended
Normally, IRA contributions for a prior year must be made by April 15thof the following year. For the first time ever, this deadline has been extended to July 15, 2020, and also applies to Health Savings Accounts (HSAs).
To make additional contributions to your Traditional or Roth IRA, SEP IRA, Solo-401(k), or Employer Defined Benefit plan for the 2019 tax year, contact TGS to ensure that your contribution is filed correctly.
2020 RMDs Waived
Individuals, including beneficiaries, will not be required to take 2020 required minimum distributions (RMDs) from defined contribution plans or IRAs. This waiver also applies to individuals who turned 70½ in 2019 but did not take their RMD before January 1, 2020.
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