Major Developments Related to COVID-19 and the Impact on MichaelSilver and Our Clients

Mar 23, 2020

The IRS Extends the Tax Filing and Federal Tax Payment Deadline to July 15th, Relief Provided to Illinois Businesses

On March 20, 2020, the Treasury Department and the Internal Revenue Service extended the federal income tax filing deadline from April 15th to July 15th. This coincides with the federal tax payment deadline that was extended to July 15th earlier in the week.

This new guidance does not provide a limit on the amount of income tax that can be deferred until July 15th. Previously, there was a $1 million cap for individuals and $10 million for corporations. All taxpayers can now defer tax payments, regardless of the amount until July 15th without being subject to interest and penalties. This applies to all taxpayers including individuals, trusts and estates, corporations, and the self-employed.