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.
Charlene Rhinehart, CPA, is managing director of CEO Unlimited LLC. She delivers communication strategies, peak performance messages, and women's wealth and leadership insights to audiences all over the world at conferences, corporations and colleges. With over a decade of experience working with Fortune 500 companies and leaders, her strategy consulting and communications firm has helped professionals enhance their speaking skills so they can increase their impact in the workplace. She is founder of Wealthy Women Daily, editor-in-chief of The Dividend InvestHER newsletter, and author of "Dividends Are a Queen's Best Friend." She also serves as chair of the Illinois CPA Society Individual Tax Committee. She is a graduate of the AICPA Leadership Academy and recipient of the Illinois CPA Society Women to Watch Award and Young Professional Leadership Award.
The Internal Revenue Service is temporarily allowing the use of digital e-signatures on some forms that can’t be filed electronically.
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.
