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.
Raju Seetharaman is Senior Vice President, IT and Transformation of Legal & General America’s insurance division, which includes operating companies Banner Life Insurance Company and William Penn Life Insurance Company of New York. He is responsible for IT and Transformation strategy, IT operations and change management with the mission to combine business strategy with cutting-edge IT expertise, to deliver efficient, effective solutions that helps Legal & General America achieve a market-leading position. Raju is an Engineering Graduate and lives with his wife Nirmala, in North Potomac, MD.
Randall Shepard, CPA, is a partner at The Bonadio Group. He has been providing professional and personal consulting and auditing services to his clients for over 25 years. As government practice leader, he oversees all of the services provided to government entities throughout the firm.
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.
