Amid the global pandemic, the federal government extended the 2020 deadline to file and pay individual income taxes to July 15th to provide taxpayers extra time to prepare during this uncertain time. It was announced on March 21st, when COVID-19 became a national emergency, that the filing deadline would be extended. As a result of the federal extension, the filing deadline for state and local taxes was also extended. The July 15th deadline is for individual returns as well as for entities with filing deadlines between April 15th and July 15th.
Although the filing date for individuals is now July 15th, individuals still have the option to further extend their filing date to October 15th by filing an extension request. It is important to note, however, that any tax still due for 2019 must be fully funded by July 15th. If individuals pay tax estimates, the first and second quarter estimates for 2020 are also due on July 15th. While It is a common myth that an extension also delays payment, that is false, and payments will be due on July 15th.
Key points in regards to the extended filing deadline of July 15th:
- IRA contributions for 2019 may be made until July 15th;
- Contributions to a Health Savings Account for 2019 may be made up until July 15th;
- Individuals, partnerships and Corps may make contributions to qualified retirement plans up until the date the return is filed, including extensions – September 15th for S-Corps and partnerships, and October 15th for individuals and C-Corps.
2020 has been quite unusual and only time will tell how quickly things return to normal. For more personal or business tax resources as it relates to the COVID-19 pandemic, including the CARES Act and PPP, visit our COVID-19 Resource Page or contact us directly.
This was prepared by WEALTHSTONE ADVISORS, a federally registered investment adviser under the Investment Advisers Act of 1940. Registration as an investment adviser does not imply a certain level of skill or training. The oral and written communications of an adviser provide you with information about which you determine to hire or retain an adviser. For more information please visit: https://adviserinfo.sec.gov/ and search for our firm name. This is for informational purposes only. Past performance is not indicative of future results, and no investment strategy or risk management technique can guarantee return or eliminate risk. All opinions and estimates constitute the firm’s judgment as of the date indicated and are subject to change without notice.