October 16 2023 tax extension deadline has moved from May 15 2023 for disaster area taxpayers in California, Georgia and Alabama.
The IRS has recently announced an tax extension deadline for disaster-area taxpayers in certain parts of California, Georgia and Alabama. Taxpayers from those areas have until October 16, 2023, to make tax returns and payments. This deadline was previously set for the 15th of the month of April.
Millions of taxpayers take advantage of the opportunity to request an extension from the IRS every April. By submitting Form 4868, these individuals have bought themselves six additional months to complete their 2022 tax returns before the due date.
When it comes to the tax extension deadline, you should be aware of a few things. While filing a tax extension may grant you more time to submit your return, it does not give you an additional window to pay your taxes – they were still due in April. Consequently, make sure you file by October 16 at the latest or else you could face additional charges and fees.
Automatic Tax Extension Deadline to October 16 for disaster areas
Earlier this year, IRS has declared an extension to the tax filing deadline for individuals and businesses in damaged areas of California, Georgia and Alabama. This change allows citizens in these regions until October 16 of, 2023 to take care of their federal taxes, which was previously set for May 15.
For areas hit by disasters, relief is being provided to those designated by FEMA in three states. Depending on each disaster, there are four distinct declarations with their respective start dates and other details listed on IRS’s Tax Relief in Disaster Situations page. This document contains a comprehensive list of localities eligible for this assistance as well as pertinent information specific to these situations. (https://www.irs.gov/newsroom/tax-relief-in-disaster-situations)
Recent relief has delayed certain tax filing and payment deadlines until October 16 for most calendar-year 2022 individual and business returns, including those for individual income tax, various business returns, and returns of tax-exempt organizations. By postponing these respective due dates from their original dates of April 18, March 15, and May 15, respectively, taxpayers have been given more time to submit relevant documentation.
The October 16 deadline has been extended for taxpayers wishing to make 2022 contributions to their IRAs and health savings accounts.
As a bonus, those employed as farmers who usually submit their tax returns on March 1 will now have an extended period of time to complete this task.
Those who owe estimated taxes for 2022’s fourth quarter are in luck, as they now have until October 16 to make this payment, originally due on January 17, 2023. This means that individuals can avoid making this full payment earlier and instead include it when filing their return before October 16.
By October 16, 2023, estimated tax payments due on April 18, June 15 and September 15 must be paid. Quarterly payroll and excise tax returns that would usually be due on January 31, April 30, and July 31 are also required to meet this deadline.
When you contact your free dedicated tax professional, taxpayers in areas affected by natural disasters can find information regarding various returns, payments, and tax-related actions that are eligible for additional time. Extension paperwork is not required to be filed, nor do they need to call IRS to receive an extended period of time.
Individuals with an address of record in an affected disaster area will get filing and penalty relief from the IRS automatically. They don’t need to call for this assistance. That being said, any person who gets a late tax filing or payment penalty notice from the IRS with due dates inside the postponement period should contact them using details on the notice to request abatement of the penalty.
The IRS is taking extra measures to help those affected by the disaster who may not necessarily live within the affected area. However, they still need access to their necessary records during the postponement period. Those taxpayers can contact PriorTax’s free dedicated tax professionals for support and assistance. This includes individuals or organizations that are affiliated with a government or philanthropic organization and helping with disaster relief activities.
Victims of a federally declared disaster area who sustained uninsured or unsalvaged losses can select to declare such damages on either the present year’s return or the preceding year’s return. Find your dedicated tax professional for more information and to walk you through the process from start to finish.