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.
Jamie Overberg, a partner at TaxOps Minimization, has been executing and managing all aspects of R&D credits for over 20 years at companies. She links nexus to qualified expenses by business component or project accounting. She can be reached at joverberg@taxops.com.
Larry Sher is a partner in the New York office of October Three. He has been a pension actuary for over 35 years, specializing in cash balance and other innovative retirement plans. Larry is a highly sought after expert and advisor and, in August 2014, was appointed to the New Jersey Pension and Health Benefits Commission by Governor Chris Christie. Larry is a Fellow of the Society of Actuaries (FSA), a Fellow of the Conference of Consulting Actuaries (FCA), a Member of the American Academy of Actuaries (MAAA) and an Enrolled Actuary (EA). He has been a Board Member and Vice-Chair of the Actuarial Standards Board, the group that establishes actuarial standards of practice for all US actuaries. Larry has also been on the Boards of the American Academy of Actuaries and the Conference of Consulting Actuaries, and was recently President of the Conference.
Lauren Hoeck is a director of retirement and financial well-being consulting at Willis Towers Watson.
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.
