Tax Provision Updates regarding COVID-19

Update Regarding COVID-19 IRS & AZ Response Information continues to develop regarding COVID-19, but thankfully it is happening at a slightly slower pace. IRS Filing Deadline Extended to 7/15 The due date of income tax returns normally due on April 15 has been moved to July 15, per directive of the Secretary of the Treasury.  This extension also applies to payment of income taxes due April 15, deferred until July 15.  This applies also to Federal 1st quarter estimated tax payments.  Although 2nd quarter estimated tax payments are still due June 15. Arizona Tax Deadlines Extended The Arizona Department of Revenue (AZDOR) has announced the deadline for filing AND paying state income taxes has been moved from April 15, 2020 to July 15, 2020.  Taxpayers submitting returns or paying after the original April 15 deadline will not be assessed late filing or late payment penalties.  Arizona General Tax Notice (GTN 20-1) indicates that interest will be waived under this extension but also indicates that 1st quarter 2020 estimated tax payments are still due April 15. See the announcement here: https://azdor.gov/news-events-notices/news/ador-extends-income-tax-deadline-july-15-2020  Arizona Tax Credit Deadlines NOT Extended Guidance from AZDOR indicates that the deadline for Arizona Tax Credits remains to be April 15, 2020.  If you are interested in making a Qualifying Charitable Organization, Qualifying Foster Care Organization, Public School, or Private School Tuition Organization credit contribution, please do so by April 15, 2020.  See the notice here: https://azdor.gov/news-events-notices/news/taxpayers-have-until-april-15-donate-charities-stos-and-public-schools-2019 For more information on these credits, visit GTS blog at: http://gaylortax.blogspot.com/2019/11/arizona-tax-credits-2019-edition.html Congressional Bills Proposed to Provide Financial Assistance The Federal government is working on legislation that will provide different assistance to the American people, including stimulus payments.  As of this writing that has not been signed into law and our office will research more once it becomes law.   There are also other bills that have been passed to offer tax credits to employers for paying wages related to sick time taken for COVID-19 related time off. More information will be released updated as we can disseminate to clients and the public.

This is believed to be accurate as of the time of publication.