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.
Mark McKee is the president and COO of OnPay, an HR and benefits software company.
Kylene O'Connor Carse, CPA
BWC & Associates, Inc.
Jeff Canfield is Head of Innovation at the Argo Group, where he seeks to transform ideas into measurable change. Prior to his current role, Canfield served as SVP and head of E&S Casualty at Colony Specialty, also a part of Argo Group. Before joining Colony in 2016, he served as senior vice president and product line leader of excess casualty at Aspen Insurance. Prior to that, he served as profit lines manager for excess casualty national accounts at AIG. He holds a bachelor’s degree in political science and government from the University of Richmond in Virginia.
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.
