US Treasury Announces 90-Day Delay in Tax Payment Deadline

AAFCPAs would like to make clients aware that the U.S. government announced on Tuesday, March 17, 2020 that certain individuals and corporations may delay their tax payments for 90 days from the April 15 deadline —or until July 15^th—due to the coronavirus (COVID-19) pandemic. Individuals may defer up to $1 million in payments for 90 days. Corporations may defer up to $10 million in payments for 90 days. During that time, the IRS will not charge interest or penalties.

<<Update: Treasury Secretary Steven Mnuchin announced on March 20th, 2020 that the IRS will move the national income tax filing day ahead to July 15th>>

First quarter estimated tax payments are still due April 15th, for now.  The administration has indicated they are considering delaying the first quarter federal estimate payment as well.

The announcement was made via a press conference, and no specific mention was made of changing the filing deadline. We do expect further clarification in writing from the Treasury, as well as responses and guidance from individual states.

What Clients Need to Know

• At present, AAFCPAs continues to approach the April 15^th tax deadline as planned.
• We are monitoring closely and taking several precautions related to the health, safety and well-being of our clients and employee team members—which is of highest importance to us.
• All AAFCPAs team members have been encouraged to work remotely to slow the spread of the coronavirus. Our Westborough, Wellesley, and Boston offices will only be occupied by critical employees with special responsibilities requiring them to maintain their normal work schedule. This will remain the case until the Centers for Disease Control provide updated guidelines.
• We are able to meet face-to-face as needed with clients via video conferencing technology. We use a tool that does not require you to download software or an application.
• We have several ways to send you your e-file authorization forms, and to capture your signature digitally.
• Tax documents may be easily transferred digitally.
• Payments to the IRS may be made online.
• AAFCPAs offers easy and secure online payment options available for your convenience.

We have invested appropriately in technology and process to make this seamless and efficient for all.

The tax practice of AAFCPAs will continue to monitor federal and state Departments of the Treasury developments and keep you informed as changes occur or become clarified. If you have any questions please contact: David McManus, CPA, CGMA at 774.512.4014, dmcmanus@aafcpa.com; or your AAFCPAs Partner.