In an effort to ease the administrative and financial burden many taxpayers face while trying to stay at home, the IRS and states are providing relief. The following details the federal and Minnesota relief provided to date. Please contact your SDK representative regarding how this will affect your situation or if you have questions about other jurisdictions.
All types of federal income tax returns and balance due payments with those returns that were due April 15, 2020, are now due July 15, 2020. This includes returns with April 15, 2020 as the extended due date. It also includes federal estimated taxes due April 15, 2020.
The IRS expanded its relief to include changing the due date for filing and payments for gift tax returns (Form 709) and gift and generation-skipping transfer taxes due April 15, 2020, to July 15, 2020.
The relief now covers:
• Form 709 (gift and generation skipping taxes),
• Form 1040 (individual income taxes),
• Form 1041 (trust income taxes),
• Form 1120 (corporate income taxes), and
• Form 990-T (exempt organization business income taxes).
Excise tax forms and payments and other informational returns due April 15, 2020, remain due April 15, 2020.
Minnesota’s relief is limited to individual income tax filings and balance due payments with those filings that have April 15, 2020 due dates. They are now due July 15, 2020.
All other types of Minnesota filings and payments including individual income tax estimated payments due April 15, 2020, remain due April 15, 2020.
Minnesota business income tax returns and trust income tax returns receive an automatic extension of time to file when the taxes have been paid by the original due date or a federal extension has been filed.
The federal relief is not an extension but rather a 3 month period when interest and penalties will not be assessed in specified situations.
The AICPA has created a good link for those filing in other states.