The IRS has extended, to February 15, 2023, the time to file federal tax returns and make certain payments for victims of Hurricane Fiona in all 78 Puerto Rico municipalities. All individuals that reside, or have a business, in the Commonwealth of Puerto Rico qualify for this relief.
Filing and payment relief.
Specifically, the IRS has postponed various tax filing and payment deadlines beginning on September 17, 2022, until February 15, 2023. For example, the following taxpayers have until February 15, 2023, to file 2021 returns:
- Individuals with a valid extension to file their 2021 return until October 17, 2022.
Note. Since tax payments due on 2021 returns were due on April 18, 2022, those payments are not eligible for this tax relief.
- Businesses with an original or extended return due date after September 16, 2022.
- Tax-exempt organizations with an original or extended 2021 return due date after September 16, 2022.
Note. The IRS’ announcement doesn’t mention the September 30, 2022, due date for 2019 and 2020 returns to receive certain penalty relief.
The February 15, 2023, deadline also applies to the following quarterly returns and payments:
- estimated income tax payments due on January 17, 2023,
- payroll tax returns normally due on October 31, 2022, and January 31, 2023, and
- excise tax returns normally due on October 31, 2022, and January 31, 2023.
In addition, the IRS will abate penalties on payroll and excise tax deposits due after September 17, 2022, and before October 3, 2022, if the deposits are made by October 3, 2022.
Automatic relief.
The IRS automatically provides filing and penalty relief to any taxpayer with an IRS address of record located in the disaster area. However, if an affected taxpayer receives a late filing or late payment penalty notice from the IRS for a return or payment that has an original or extended due date between September 17, 2022, and February 15, 2023, the taxpayer should call the number on the notice to have the penalty abated.
In addition, the IRS will work with any taxpayer who lives outside the disaster area but whose tax records are in the affected area. Taxpayers qualifying for relief who live outside the disaster area should contact the IRS at 866-562-5227. This also includes workers assisting the relief activities who are affiliated with a recognized government or philanthropic organization.
Casualty losses.
Individuals and businesses in a federally declared disaster area who suffered uninsured or unreimbursed disaster-related losses can choose to claim those losses on either their 2022 return or their 2021 return. Taxpayers claiming disaster losses should write the FEMA declaration number—DR-3583-EM—on any return claiming a loss.
For more information about claiming a casualty loss, see Checkpoint’s Federal Tax Coordinator ¶ M-1900, et seq.
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