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.
Jim Gemer, CPA, is the founder of the Human Choice Company LLC in Bradenton, Florida. He writes on AI governance, forensic methodology, and the accountability gap at thinkingsovereignty.ai and digitalhumanism.ai.
Pam Klein is the SVP and GM of Zelis' member engagement and transparency business, which helps payers meet the needs of their members. Previously, she led Network Analytics at Zelis to help payers optimize their provider networks through analytical software and Product Management for Zelis' Claims Cost Solutions business unit. Prior to this, she was Chief Marketing Officer at Zelis, overseeing strategic leadership on brand management, product marketing, and internal and external communications.
Luke Frye, CPA, is the Accountant in Residence at Canopy, where he brings a background in accounting tech startups and private practice to help firms build smarter, more scalable businesses. After growing his own bootstrapped firm to $500K ARR and helping platforms like Bench and Pilot reach thousands of clients; Luke now focuses on one mission: helping firms add $10 million in collective revenue this year. He bridges modern software and firm operations so practitioners can reclaim their time and build firms that are not just profitable, but truly valuable.
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.
