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.
Fed officials also talk about the muni liquidity facility and efforts to help the economy in the wake of the COVID-19 pandemic.
Robbie Randall is a member of the Intuit Accountants team. He has a great passion for helping small businesses thrive. Having owned a small business, he understands the heartaches, the triumphs, and the attention it takes to operate one. In his current role, he speaks with hundreds of entrepreneurs weekly and enjoys sharing insights that he’s collected from some of the most successful cloud-based firms. Connect with Robbie on Twitter or LinkedIn @smbizpro.
Andrew Hoag is CEO and founder of Teampay, a leading distributed spend management platform. He has founded four companies, including urbantag in 2011, which tackled the trillion-dollar online-to-offline commerce market and exited in October 2012. In addition to these entrepreneurial and leadership roles, he has served as an angel investor and advisor to many other companies, helping them to raise venture capital and design product strategy. Prior to that, he held management roles in customer engineering, product management, internationalization, business development and marketing at VeriSign, and, before that, he connected and built supercomputers for NASA.
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.
