The Internal Revenue Service is postponing the date for filing gift tax and generation-skipping transfer tax returns and making payments until July 15, 2020, because of the novel coronavirus pandemic.
The IRS issued Notice 2020-20 on Friday, extending the relief it provided earlier this month on the tax-filing and payment dates for most other types of tax returns. The IRS also said the associated interest, additions to tax, and penalties for late filing or late payment will be suspended for the gift tax and generation-skipping transfer tax until July 15.
Alex Shubat is CEO of HR software company Espresa.
Daniel Moshe is founder and CEO of Tech Guru, a comprehensive IT managed services and consulting practice for public accounting firms, delivering CIO-level strategy to accounting firms seeking innovative technology resources and guidance. Daniel is also a practicing Professional EOS Implementer, helping leadership teams get what they want from their businesses with simple, practical tools. Tech Guru was named to the Inc. 5000 List as one of America’s Fastest Growing Companies in 2017 and 2018.
Ken Gary is vice president of corporate strategy and development at Stafford Communications.
The relief is automatic and applies to any amounts due related to these types of returns. There’s no requirement to file for an extension and the three-month period between the original due date of April 15 and the new deadline of July 15 will be disregarded in terms of any interest, penalties or extra taxes for those who fail to file a Form 709 United States Gift and Generation-Skipping Transfer Tax Return by April 15.
Groups of tax and accounting professionals such as the American Institute of CPAs, the National Society of Accountants and the National Conference of CPA Practitioners have been pressing the IRS to provide additional forms of tax relief beyond the initial relief granted for tax payments from coronavirus victims.
