Many states have pushed back their deadlines to offer relief to both individuals and businesses in the wake of the coronavirus pandemic. As the original tax day date nears, we advise that you monitor when state taxes are due and whether your organization is eligible for any tax extensions. Federal tax day was delayed until July 15, 2020, but states have been left to set their own extensions. It is important to note where your company has filing obligations as not all states uniformly follow federal tax code.
The following provides a sampling of some of the states and the actions they have taken related to filing extensions. Note the below is not an all-inclusive list of state tax extensions.
Arizona extended filing and payment for individual, corporate, and fiduciary tax returns, and has waived late filing and late payment penalties until July 15, 2020.
California extended tax filing for personal taxpayers, partnerships, LLCs taxed as partnerships, estates and trusts, C corporations, and S corporations to July 15, 2020. Payments, including second and first quarter estimated payments) for LLC taxes and fees, non-wage withholding payments have also been extended until the July date, and the state has waived interest and penalties.
Organizations may defer payroll taxes for 60 days by submitting a request in writing to the California Employment Development Department. Other state taxes including sales and use, motor vehicle fuels, cigarettes, and a range of environmental fees, may be deferred for qualifying circumstances. The property tax deadline of April 10, 2020, has not been moved, but penalties can be waived in scenarios when a case can be presented that payment was not able to be made in the interest of safety or a “shelter in place” ordinance.
The April 15 payment deadline has been extended to July 15, 2020 while the filing deadline has been extended to Oct. 15, 2020. Interest from the due date of the payment until July 15, 2020 will be waived. Penalties for estimated payments are waived until July 15, 2020. Extensions and these specific waivers do not apply to payments due pursuant to a notice of deficiency, notice of final determination, demand for payment, installment agreement, closing agreement, or other agreement or requirement to pay. Relief does not apply to other returns, filings, or payments required to be made, such as, withholding tax.
Florida will waive penalty and accrual of interest for taxpayers adversely affected by the coronavirus who collected any applicable state taxes, but were unable to meet indicated deadlines, including:
- February 2020 taxes due March 20, 2020, (reported and remitted by March 31, 2020) and
- March 2020 taxes due April 20, 2020, (reported and remitted by April 30, 2020).
Taxes eligible for this relief include sales and use and others.
The state extended the date for individuals and businesses to pay property taxes from March 31, 2020, to April 15, 2020. Property tax returns filed by a railroad, railroad terminal, private car and freight line and equipment company property have been extended from April 1, 2020 to April 15, 2020.
Georgia extended income tax filing and payment deadlines to July 15, 2020, without penalties or interest. The extension also includes state estimated income tax payments due on April 15, 2020, for the taxpayer’s 2020 taxable year. However, no extension is provided for the filing, payment, or deposit of any other type of state tax (including employee withholding and sales tax) or for the filing of any state information returns.
Illinois extended the income filing deadline from April 15, 2020, to July 15, 2020. This does not apply to first and second installments of estimated payments for 2020 taxes that are due April 15, 2020 and June 15, 2020. Taxpayers will not be assessed a late estimated payment penalty if the amount of the installments equals 90% or more of the current year’s liability or 100% of the previous year’s liability.
Some taxpayers are eligible for relief from penalties and interest on late sales tax payments due in February, March, and April 2020, including eating and drinking establishments that incurred a total sales tax liability of less than $75,000 in the 2019 calendar year. An emergency rule extended franchise tax filing deadlines of at least 30 days and waives penalties for late filings. The extension relates to materials required to be filed on or after March 17, 2020.
Kansas extended the deadline for filing 2019 calendar year tax returns for individual income tax, fiduciary income tax, corporate income tax, and privilege tax to July 15, 2020. The state’s Department of Revenue also extended the deadline for filing the 2019 fiscal year tax returns for fiduciary income tax, corporate income tax, and privilege tax with due dates between April 15, 2020 and July 15, 2020 to July 15 with no penalty or interest charged if paid on or before July 15, 2020. This order does not change laws, regulations, or rules regarding estimated tax payments due April 15, 2020.
Homestead or property tax relief refund claims have an extended deadline for filing 2019 claims to Oct. 15, 2020.
Massachusetts extended filing and payment until July 15, 2020, for personal income, estate, and trust income taxes as well as taxes due with a partnership composite return and any April 2020 installment of deemed repatriated income for individual taxpayers. The state also recently announced that late-pay penalities for corporate excise returns have been waived so long as the taxes due on April 15 are made by July 15,2020. Sales and use taxes for vendors whose liability in the 12-month period ending Feb. 29, 2020, was less than $150,000 have an extension for their returns and payments due between March 20, 2020, and May 31, 2020. Those returns and payments are now due June 20, 2020. The rule change does not apply to marketplace facilitators or motor vehicle retailers, among others. Extensions are also available for operators subject to the state’s room occupancy excise tax and meals and room occupancy excise tax.
Minnesota extended filing and payment of individual income tax without any penalty and interest until July 15, 2020. This relief does not include estimated taxes for 2020 due April 15, 2020, but it does include 2019 estimated taxes and extension tax payments for the 2019 tax year. The extension does not apply to corporation franchise, S corporation, partnership, or fiduciary taxes.
Missouri extended filing and payment for individuals and corporations and trusts or estates’ income tax returns and estimated payments automatically to July 15, 2020. Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020.
New York extended filing and payments until July 15, 2020, for individuals and corporations, included estimated payments. Sales tax payments that were due March 20 may be waived for companies impacted by the COVID-19 pandemic, but companies must file for tax relief to avoid penalty and interest.
Ohio extended state income tax filing and payment until July 15, 2020, for individuals and companies. Also extended are the due dates for those that file the school district income tax, pass-through entity tax, and filings for taxpayers that opted in to the state’s commissioner-administered municipal net profit tax. Quarterly estimated income taxes for individuals, estates, trusts, and certain businesses have also been extended until July 15.
Pennsylvania extended filing and payment until July 15, 2020, for personal, trust, estate, partnership, and corporations’ income tax returns. The state’s property tax and rent rebate program extended its application from June 30 to Dec. 31, 2020. Penalties have been waived for businesses required to make accelerated sales tax prepayments by March 20, 2020. Taxpayers may request relief on inheritance tax returns due during the timeframe where Pennsylvania Department of Revenue offices closed due to the pandemic.
Rhode Island extended filing and payment until July 15, 2020, for individuals, corporations, pass-through entities, and trusts and estates. Estimated tax payments are also delayed until July 15, 2020. Property tax payments are also delayed, along with first quarter estimated tax payments and pass-through withholding estimates.
South Carolina extended filing and payment until July 15, 2020 for state income taxes along with estimated tax payments. All other taxes due between April 1 and June 1 will be due on June 1, 2020, including sales, use tax, and withholding tax.
Tennessee extended filing and payment until July 15, 2020 for its Hall income tax, as well as franchise and excise taxes and estimated tax payments. Business tax filings are due June 15, 2020. Sales and use taxes have not been delayed.
Texas has asked that businesses affected by the COVID-19 pandemic to reach out to the state’s Comptroller office to ask for relief, short-term payments agreements or waivers through its Enforcement Hotline. To provide Texas franchise taxpayers relief, the Comptroller automatically extended the due date for 2020 Texas franchise tax reports to July 15, 2020.
Utah extended filing and payment to July 15, 2020 for individuals, corporations and pass-through entities with interest and penalties waived for late-filed 2019 tax returns and payments. The deadline for submitting sales taxes remains the same.
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