Update on Tax Payment Deferral

From Markham Norton Mosteller Wright & Co., P.A.

Earlier this week it was announced by Treasury Secretary Steven Mnuchin that the administration and the IRS will be moving forward with a 90-day extension of time to PAY 2019 income taxes that were otherwise due on April 15th. Some clarifications and updates have been issued since the original announcement and we would like to share those with you. 

The deferral of payment to July 15, 2020 includes any payment that would be due on April 15, 2020. This is only applicable as long as the aggregate amount is not over $1 million for individual taxpayers and it is not over $10 million for businesses. Associated interest, additions to tax, and penalties for late payment will be suspended until July 15, 2020. 

The first quarter 2020 estimate payments that were due on April 15, 2020 are also included in this deferral, however the 2nd quarter estimates will still be due on June 15, 2020. 

At this time, the filing deadline has not changed.