IRS extends filing deadline; CPAs seek further action and guidance

Written on Mar 18, 2021

OSCPA staff report


The IRS this week announced that the federal income tax filing due date for individuals has been extended to May 17.

That’s an appropriate first step, said OSCPA Tax Policy Director Greg Saul, Esq., CAE, but more explanation – and action – are needed.

“OSCPA is engaging with the Ohio Department of Taxation on getting our state deadlines extended, but we will need some clarity on what’s happening at the federal level,” Saul said. “I expect we’re going to see additional action in the next few days,– several federal legislators are still pushing for an extension to June 15. Also, the first quarter estimated payment deadline needs to match the filing deadline. We are engaged and hopefully will see some of these issues come to fruition.

“We’re in the same spot we were last year,” Saul continued. “The IRS announced something, and you might recall that initially all the deadlines did not add up. So, again, we will just have to let this play out a little bit, because what they did this week – though a step in the right direction – does not address all the things we need to accomplish.”

The IRS in 2020 initially only moved the payment deadlines – but not the filing deadline – to July 15. In addition, the IRS initially only moved the first quarter estimated payment deadline to July 15 and kept the second quarter deadline at June 15. Eventually, everything was moved to July 15.

Most notably this year, Saul said, the relief does not apply to first quarter estimated tax payments due April 15. Also, if all deadlines are moved to June 15 that would line everything up with the second quarter estimated payment deadline.

The AICPA, meanwhile, said that millions of taxpayers will not benefit from the extension.

“While we appreciate the IRS’ recognition that a filing deadline postponement is indeed necessary, the announcement is far too selective in who is receiving relief,” said AICPA President and CEO Barry Melancon, CPA, CGMA. “In fact, the taxpayers who are most likely to benefit from this additional time are taxpayers who are able to meet the original filing deadline.”

Individual taxpayers do not need to file any forms or call the IRS to qualify for the automatic federal tax filing and payment relief. The IRS said taxpayers who are due a refund should still file as soon as possible.

Take action now!

Use OSCPA’s quick and easy letter-writing tool now to contact your member of Congress today and urge them to move the federal tax filing and payment deadline to June 15!

Related:

Read the March 17 IRS announcement in its entirety

AICPA: Many taxpayers will not benefit from IRS tax deadline extension