On March 21, 2020, the Treasury Department and Internal Revenue Service announced that the federal income tax filing due date is automatically extended from April 15, 2020, to July 15, 2020.
Taxpayers can also defer federal income tax payments due on April 15, 2020, to July 15, 2020, without penalties and interest, regardless of the amount owed. This deferment applies to all taxpayers, including individuals, trusts and estates, corporations and other non-corporate tax filers as well as those who pay self-employment tax.
Taxpayers do not need to file any additional forms or call the IRS to qualify for this automatic federal tax filing and payment relief. Individual taxpayers who need additional time to file beyond the July 15th deadline, can request a filing extension by filing Form 4868 through their tax professional, tax software or using the Free File link on IRS.gov. Businesses who need additional time must file Form 7004.
Several states, including Pennsylvania and New Jersey have followed suit with extending their filing deadlines as well. It would seem logical to expect other states to follow the federal extension as well.
Since retirement plan contributions are due by the Company’s tax filing deadline, this action by the Treasury and IRS should also extend the funding deadline to July 15 as well.
Your retirement team at Tycor is continuing to monitor these actions and will keep you informed. If you have questions, please contact us at (610) 251-0670 or email your plan administrator at Tycor.