In these new and tumultuous times, please know your team at Strategic Direction, Inc. are working from home to ensure your taxes, audits, and bookkeeping are done on time while we all deal with the Covid-19 Virus.
As you may, or may not have heard, the California Franchise Tax Board has granted a 60-day extension to business and individuals to file and pay the 2019 taxes and your 2020 estimated tax payments. This means we now have until June 15, 2020 to file and pay your taxes, should you need additional time. The Franchise Tax Board’s June 15 extended due date may be pushed back further if the Internal Revenue Service grants a longer relief period. https://www.ftb.ca.gov/about-ftb/newsroom/news-releases/2020-2-more-time-to-file-pay-for-california-taxpayers-affected-by-the-covid-19-pandemic.html
Currently we don’t have any formal relief for taxes from the IRS. The American Institute of CPAs (AICPA) has been in contact with the IRS asking for the relief to be finalized soon. The AICPA anticipates that The Treasury and IRS will announce this week an extension of the April 15th deadline by as much as 90 days and a waiver of penalties and interest for most taxpayers.
Additionally, Treasury and the IRS are aware of the major deadline for business that occurred on March 16, 2020 and the challenges facing taxpayers and tax preparers in meeting that deadline. They have indicated they would be generous in determining reasonable cause abatement of penalties for taxpayers and tax preparers unable to file in a timely manner.
As I learn more I will send out more updates. In the meantime, stay safe and healthy.
NOTE: Should you have additional concerns, or questions regarding your specific taxes, as always, please use the Acuity link to set up a phone call: https://app.acuityscheduling.com/schedule.php?owner=12992241