Update on 2016 Tax Relief for Victims of Severe Storms and Flooding in Texas
ORIGINAL ANNOUNCEMENT: Following the recent disaster declaration by the President and the Federal Emergency Management Agency, the IRS announced that affected taxpayers in Texas will receive tax relief. The IRS will postpone certain deadlines for taxpayers who reside or have a business in the disaster area. Deadlines falling on or after May 26, 2016, and on or before October 17, 2016, have been postponed to October 17, 2016. This includes the following items: June 15 and September 15 deadlines for making quarterly estimated tax payments; 2015 corporate and partnership returns on extension through September 15; and August 1 deadlines for quarterly payroll and excise tax returns.
UPDATE: The IRS has updated the news release on the May 26, 2016 storms that passed through parts of Texas. Originally, the individuals who reside in, or have a business in, Austin, Brazoria, Brazos, Fort Bend, Grimes, Hidalgo, Hood, Montgomery, San Jacinto, Travis, Waller and Washington Counties would qualify for tax relief. On June 23, 2016 the IRS added Bastrop, Burleson, Eastland, Lee, Liberty, Stephens, and Tyler counties. Following that, on June 30, 2016, the IRS extended the list of counties to receive tax relief to include Fayette, Harris, Kleberg, Palo Pinto, and Parker.
If an affected taxpayer receives a late filing or late payment penalty notice from the IRS that has an original or extended filing, payment or deposit due date that falls within the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty.
Affected taxpayers who would like more details on potential tax relief and casualty losses from this natural disaster should visit the IRS website at the following link.
If you have any questions on this update, please do not hesitate to call our office at 281-759-1120.