I'm not clear on the details, is this a 90 extension on the filing due date, or is the filing due date still 4/15 with a 90 day extension on taxes due?
> “We encourage those Americans who can file their taxes to continue to file their taxes on April 15,” Mnuchin said. “Because for many Americans, you will get tax refunds.”
~~Seems pretty clear to me,~~ ~~the deadline for filing~~ and deadline to pay are both extended by 90 days.
Edit: Sorry, you're right, it's not clear. Others in the thread seem to disagree that the filing deadline has been moved or not. This was how I read it.
If I have updated my understanding correctly now based on reading more of the supporting materials, it looks like you can file late without a penalty if your state agrees, based on a declared state of emergency, but that you are still encouraged to file on-time if you can. Only for payments, are they saying broadly that no penalties or interest will be assessed, if you owe money on your federal return, (which is as much power as the treasury probably has.)
California for example has one of the most detailed set of guidance by state in this document. My state of Indiana is saying they will follow the federal government's lead.
The article could be read in a way that supports automatic extension of the filing deadline, but the announcement was very specific that it applies to the payment deadline:
Treasury Secretary Steven Mnuchin on Tuesday said that individuals will be able to defer up to $1 million in tax payments to the IRS for 90 days in light of the coronavirus outbreak.
Without interest and penalties, filing late is probably meaningless, but still it would have been nice if they clearly stated that the filing deadline was postponed as well.
Of course, it would have been nice if they'd have planned this out in their contingency planning weeks ago and had a detailed announcement ready to post on irs.gov, but no one in government knew that a pandemic could turn into a bad thing. Aside from the government epidemiologists who have been warning about this all along, but they're just scientists, so what do they know!?
~~Seems pretty clear to me,~~ ~~the deadline for filing~~ and deadline to pay are both extended by 90 days.
Edit: Sorry, you're right, it's not clear. Others in the thread seem to disagree that the filing deadline has been moved or not. This was how I read it.
If I have updated my understanding correctly now based on reading more of the supporting materials, it looks like you can file late without a penalty if your state agrees, based on a declared state of emergency, but that you are still encouraged to file on-time if you can. Only for payments, are they saying broadly that no penalties or interest will be assessed, if you owe money on your federal return, (which is as much power as the treasury probably has.)
California for example has one of the most detailed set of guidance by state in this document. My state of Indiana is saying they will follow the federal government's lead.
https://www.aicpa.org/content/dam/aicpa/advocacy/tax/downloa...