03/18/2020
"If you owe a payment to the IRS, you can defer up to $1 million as an individual — and the reason why we are doing $1 million is because that covers lots of pass-throughs and small businesses — and $10 million to corporations, interest-free and penalty-free for 90 days. All you have to do is file your taxes, you'll automatically not get charged interest and penalties," Mnuchin said.
"This has been reported by some as an extension of the tax season by 90 days. However, Secretary Mnuchin made clear that was not the case. He said, specifically, "We encourage those Americans who can file their taxes to continue to file their taxes" by the normal tax filing deadline. The IRS could extend that filing deadline, but it is not yet clear whether that will happen. To be clear, as of today, the deadline for filing your individual federal income tax returns remains April 15, 2020. If you need more time to file your federal income tax returns, consider filing for an extension.
Additionally, the IRS has not announced official guidance on the penalty and interest provisions. Hopefully, we’ll have some clarity on those soon."
As rumors fly about tax relief in response to the coronavirus, tax professionals - including me - have been encouraging taxpayers to proceed with caution.
