By The GPCPAs Newsroom
The IRS has announced tax relief for victims of Hurricane Helene, offering an extension on tax filing and payment deadlines for individuals and businesses affected by the disaster. The new deadlines, now extended to May 1, 2025, aim to help those impacted by the hurricane recover.
Who Qualifies for the Relief?
The relief covers individuals, businesses, and households located in the 45 counties designated as disaster areas, including major regions such as Alachua, Hillsborough, Lee, Monroe, and Pinellas. Importantly, businesses with operations in these areas, even if headquartered elsewhere, may also qualify for this extension. Additionally, those who were already under an extension due to Tropical Storm Debby will see their deadlines further postponed to May 1, 2025.
What Does the Tax Relief for Victims of Hurricane Helene Include?
The IRS relief applies to a broad range of tax filings and payments. Key elements include:
- Quarterly payroll and excise tax returns due on October 31, 2024, January 31, 2025, and April 30, 2025.
- Estimated tax payments due on September 16, 2024, January 15, 2025, and April 15, 2025.
- Individuals and businesses with valid extensions for their 2023 tax returns (initially due October 15, 2024) will now have until May 1, 2025, to file their returns. However, note that tax payments originally due in April 2024 are not covered by this extension.
Special Considerations for Penalties
If a taxpayer in the affected area receives a late filing or payment notice for taxes due during the postponement period, the IRS encourages them to contact the number listed on the notice to request an abatement of penalties. Additionally, penalties on payroll and excise tax deposits due between September 23, 2024, and October 8, 2024, will be waived as long as deposits are made by October 8, 2024.
How to Request Relief If You Are Outside the Disaster Area
For business owners or individuals located outside the declared disaster area but whose records are maintained within the affected counties, the IRS offers an option to request this relief. Tax professionals can also use the Bulk requests for disaster relief option available on IRS.gov for their clients.
Casualty Losses and Other Tax Relief Opportunities
The IRS allows affected taxpayers to claim disaster-related casualty losses on either their 2023 or 2024 tax return, offering flexibility in determining how best to utilize the relief. Individuals claiming a loss should remember to include the FEMA disaster declaration number (FEMA-3615-EM) on any filings. The IRS also provides extended relief for retirement plan distributions and hardship withdrawals, including waivers for early withdrawal penalties for special disaster distributions.
For More Information
For more details on the IRS announcement and the full list of affected areas, visit the official IRS announcement here.
By offering this extended relief, the IRS aims to help those hit hardest by Hurricane Helene recover more easily, ensuring they have adequate time to manage their tax filings and payments amid the disruption caused by the disaster.
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