Taxes and COVID-19
Click here for all Coronavirus Outbreak Legal Updates as this information frequently changes and may be outdated.
3/25/2020 Update: The IRS has now extended both the filing and payment deadline to July 15, 2020. For more information, please visit https://www.irs.gov/newsroom/filing-and-payment-deadlines-questions-and-answers.
- The filing deadline remains unchanged. Returns or extensions are still due by April 15.
- Payment deadline has been extended. Payments due on April 15 can be deferred, up to $1 million (or $10 million for corporations), for 90 days without penalty or interest.
- Families First Coronavirus Response Act (the “Act”)
- While not signed into law yet, the Act provides for paid sick leave benefits to employees and tax credits for employers (and self-employed).
- Under the current proposed bill, employers would receive a tax credit for each employee equal to his or her wages while the employee is receiving paid sick leave to care for themselves, a family member or a child whose school is closed, subject to per diem limits and total benefit amount of $10,000.
- In the event the credit exceeds the employer’s payroll tax liability, it is refundable.