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.
Ayalla Reuven-Lelong is a leading expert on the topic of the future of the workplace and the author of "Riding the White-Water Rapids, the Story of My Success at KPMG." For the past 12 years, she has served as an external consultant for KPMG. She was involved in the design and implementation of many of the firm’s strategic processes that were led by senior partners and mainly related to people and growth. Her work targeted the development of soft strategies within employees, leaders, and senior management in order to create a culture of a growth mindset and prepare the firm for continued success in our fast-changing reality.
Paul DeChant, MD, is a deputy chief health officer with Simpler Healthcare, a division of IBM Watson Health. His book, Preventing Physician Burnout: Curing the Chaos and Returning Joy to the Practice of Medicine, was published in December 2016.
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.
