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.
Cathy Allen, CPA, of Audit Conduct LLC, educates CPAs and others on auditor independence and ethics requirements though consultation, training, litigation support and expert services. She previously served as a managing director in PwC, LLP and served as senior staff to the AICPA Professional Ethics Executive Committee. She serves on the New York State Board for Public Accountancy and the National Association of State Boards of Accountancy Board of Directors as Northeast regional director , and chairs NASBA’s Ethics Committee.
Talal Debs, a former philosophy professor, banker and risk manager, is head of the risk practice at RSR Partners, an executive search and leadership consulting firm, and a research associate at the Center for the Philosophy of Natural and Social Sciences at the London School of Economics.
Gary Wallace is the tax department leader for Keiter and serves on the firm’s executive committee. Prior to joining Keiter, Wallace was the CFO for the Riverstone Group, LLC and CCA Industries Inc.
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.
