The IRS is reminding affected taxpayers in 14 states that due to natural disasters, their additional time to file and pay their federal taxes will run out soon. Residents and businesses in these states have until February 15, 2025, to submit their tax returns and payments penalty-free, thus providing much-needed relief to many who are working to recover from recent disasters.
For the 2024 hurricane, wildfire, and other federal disaster areas, it extends the deadlines for individuals and businesses. Since tax deadlines make most people shudder, any extension is always a small ray of sunshine that comes with difficult times for most affected by Mother Nature’s curveballs.
What states are affected?
The IRS has identified 14 states that are eligible for this extension, which includes California, Georgia, Alabama, Florida, and Mississippi. These states have experienced disasters in the form of severe storms to flooding. This deadline automatically extends to all taxpayers in federally declared disaster zones. If you’re wondering whether you qualify, the IRS has a very detailed list of eligible locations on its website.
This relief extension means taxpayers who qualify for this relief won’t be subjected to penalties regarding late payments and filings. Instead, they get more time to organize their finances as they focus on recovery operations. Businesses and individuals can feel relieved because there will be no penalties imposed upon them due to delays that occurred as a result of uncontrollable factors.
What Does the Extension Include?
The IRS extension applies not only to filing returns but also to quarterly estimated tax payments, corporate income tax returns, and other filings that would have been due during the extension period. For instance, taxpayers who had a payment due on October 16, 2024, now have until February 15, 2025, to make that payment.
Even if a natural disaster isn’t directly hitting you, it’s worth checking to make sure you aren’t being left out of an extension. Sometimes, neighboring areas are included because of overlapping federal declarations, so it’s good to stay informed.
How to File if You Are Affected
For those who qualify, the deadline is automatic. There is no need to file extra paperwork for the extension. Taxpayers who receive penalty notices despite qualifying for the extension should contact the IRS for resolution.
Taxpayers who rely on third-party software or tax preparers should also notify them of the extension, just to avoid any mix-ups. The IRS encourages e-filing for quicker processing, especially as the February deadline nears.
Take Action Before the Clock Runs Out
The IRS reminder serves as a wake-up call for those who may have lost track of tax deadlines amidst disaster recovery. If you’re in one of the affected states, take full advantage of this extra time. Whether you’re a small business owner or an individual taxpayer, preparing your documents now can save last-minute headaches.
Weeks before the deadline on February 15, procrastination must not be your downfall. Let’s face it: Nobody wants to tango with the IRS after a natural disaster has brought them down.
