COVID-19 IRS Update
On Tuesday, March 17, 2020, Secretary of the Treasury, Steve Mnuchin, speaking at a coronavirus news conference, announced that the government will be deferring required 2019 income tax payments for 90 days, penalty-free. During the ninety-day period, the IRS will not apply interest or penalties for otherwise “late” payments. This deferment does not prevent the taxpayer from filing for an extension, as usual. The deferment will apply to individuals owing up to $1 million and businesses owing up to $10 million.
As of the writing of this notice, the IRS has not yet extended the deadline to file your tax forms.
Similarly, the Illinois Attorney General has published that estates with estate tax returns and payments due between March 16, 2020 and April 15, 2020 will receive a 30-day extension for filing and payment. The extension however does not waive or reduce statutory interest. If filing returns in Chicago, access the James R Thompson Center through the Lake Street entrance. However, the Attorney General’s office is strongly encouraging estates to file returns and extension requests by mail.
We have yet to see any published guidance on the IRS matters, but please feel free to contact Donna Hartl, Barry Siegal, Nancy Franks-Straus, Jon Morton, or Katherine Oswald, with any questions on these or other tax related matters in the interim.