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.
Grant Heckenkemper, CPA, is director of advisory services at L&H CPAs & Advisors in Dallas, where he advises founder-led companies on mergers and acquisitions, strategic finance and contract CFO engagements. He began his career in the audit practice at KPMG and is a CPA registered in the State of Texas.
Arun John is serving as director of insurance consulting at Virtusa, Arun John brings over 20 years of experience in Property & Casualty insurance technology, underwriting, and claims transformation. He leads strategic consulting and solutioning initiatives that help global insurance carriers modernize core policy administration and automate complex processes using generative AI, machine learning, and AR/VR accelerators. His career spans key consulting and product roles at Tech Mahindra, Cognizant, and IFFCO-Tokio. He holds an
engineering degree from Periyar University and AWS credentials in Generative AI project
planning.
Nadia van de Walle is the head of banking inclusion at Wells Fargo.
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.
