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.
Charity Karanja is an attorney at Butler Snow LLP in the Public Finance, Tax Incentives and Credit Markets Group. She holds the Development Finance Certified Professional (DFCP) designation through the Council of Development Finance Agencies (CDFA). She is recognized as one of The Bond Buyer's 2025 Rising Stars and has the distinction of being one of six women in the nation named to the 2024 Class of the Caren S. Franzini Fellowship, a merit- based program by the CDFA Foundation, recognizing outstanding women in development finance for their leadership and dedication to the advancement of the industry.
Tray Hairston is an attorney at Butler Snow LLP in the Public Finance, Tax Incentives and Credit Markets Group. He holds the Certified Economic Developer (CEcD) designation through the International Economic Development Council (IEDC) where he serves on the Board of Directors. He is recognized as one of The Bond Buyer's 2018 Rising Stars and has structured more than $3 billion in transactions.
Lindsey Young is the founder of Quiet Wealth, a financial planning and investment management firm that focuses on serving LGBTQ professionals and retirees.
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.
