Texas IRS Deadline Relief: Don’t Count Your Chickens Just Yet

The good news is that the winter storm that engulfed the State of Texas is behind us, and the sun is shining. The Internal Revenue Service is providing relief to the state’s taxpayers in the form of deadline extensions because the Federal Emergency Management Agency (FEMA) declared the entire state a disaster. Texans now have until June 15, 2021, to file various individual and business tax returns and make tax payments to the IRS.

Taxpayers in other states impacted by these winter storms that receive similar FEMA disaster declarations will automatically receive the same filing and payment relief. The current list of eligible localities is always available on the disaster relief page on the IRS.gov website.

The tax relief postpones various tax filing and payment deadlines that occurred starting on February 11. Affected individuals and businesses will have until June 15, 2021, to file Federal returns and pay any taxes that were originally due during this period. This deadline applies to all of the following:

  • 2020 individual and business returns due April 15
  • Various 2020 business returns due March 15
  • 2020 IRA contributions
  • Quarterly estimated income tax payments due April 15
  • Quarterly payroll and excise tax returns due April 30
  • Tax-exempt organizations, operating on a calendar-year basis that have a 2020 return due on May 17

The IRS will abate penalties on payroll and excise tax deposits due on or after February 11 and before February 26, but the deposits are required by February 26.

While this IRS deadline extension provides federal relief, there is no such relief for State tax filings. The respective March 15 and April 15 State deadlines still apply to:

  • State estimated tax payments.
  • Extension payments
  • Business tax returns
  • Individual income tax returns

For further guidance, please contact your BKMSH team member.