Return Filing and Tax Payment Deadlines Extended for South Carolina Flood Victims (IR-2015-112)

The IRS has announced special tax relief for the victims flooding in South Carolina. The tax relief postpones various tax filing and payment deadlines that occurred starting on October 1, 2015, until February 16, 2016. Affected taxpayers include individuals and businesses that live or do business in Berkeley, Charleston, Clarendon, Dorchester, Georgetown, Horry, Lexington, Orangeburg, Richland, Sumter and Williamsburg counties.

This relief includes not only the October 15 extension deadline for filing 2014 individual income tax returns and making tax payments but also the January 15, 2016, deadline for making quarterly estimated tax payments and the November 2, 2015, and February 1, 2016, deadlines for quarterly payroll and excise tax returns. The IRS will abate any interest, late-payment or late-filing penalty that would otherwise apply.

In addition, the IRS is waiving late deposit penalties for federal payroll and excise tax deposits normally due on or after October 1, and before October 16, if the deposits are made by October 16, 2015.

The Service automatically provides this relief to any taxpayer with an IRS address of record located in the disaster area. Taxpayers need not contact the IRS to get this relief. In addition, the IRS will work with any taxpayer who lives outside the disaster area but whose records necessary to meet a deadline occurring during the postponement period are located in the affected area. All workers assisting the relief activities who are affiliated with a recognized government or philanthropic organization also qualify for relief.

Taxpayers qualifying for relief who live outside the disaster area need to contact the IRS at 866-562-5227866-562-5227. Individuals and businesses who suffered uninsured or unreimbursed disaster-related losses can choose to claim them on either their 2014 or their 2015 return. Claiming these casualty loss deductions on either an original or amended 2014 return will get the taxpayer an earlier refund but waiting to claim them on a 2015 return could result in greater tax savings depending upon other income factors.

Disaster victims in other parts of the country may also qualify for tax relief, based on federal disaster declarations issued earlier this year. Currently, individuals and businesses in parts of California, Kentucky, Texas and the Northern Mariana Islands may qualify for filing and payment relief. See the IRS Disaster Relief page for details.

IR-2015-112, 2015FED ¶46,420

Other References:

Code Sec. 7508A

CCH Reference – 2015FED ¶42,687C.22

Tax Research Consultant

CCH Reference – TRC FILEIND: 15,204.25

CCH Reference – TRC FILEBUS: 15,110

 

AUTHOR

Wolters Kluwer Tax and Accounting

Wolters Kluwer Tax and Accounting is a leading provider of software solutions and local expertise that helps tax, accounting, and audit professionals research and navigate complex regulations, comply with legislation, manage their businesses and advise clients with speed, accuracy and efficiency. Wolters Kluwer Tax and Accounting is part of Wolters Kluwer N.V. (AEX: WKL), a global leader in information services and solutions for professionals in the health, tax and accounting, risk and compliance, finance and legal sectors. We help our customers make critical decisions every day by providing expert solutions that combine deep domain knowledge with specialized technology and services. Wolters Kluwer reported 2016 annual revenues of €4.3 billion. The company, headquartered in Alphen aan den Rijn, the Netherlands, serves customers in over 180 countries, maintains operations in over 40 countries and employs 19,000 people worldwide. Wolters Kluwer shares are listed on Euronext Amsterdam (WKL) and are included in the AEX and Euronext 100 indices. Wolters Kluwer has a sponsored Level 1 American Depositary Receipt program. The ADRs are traded on the over-the-counter market in the U.S. (WTKWY).

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