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Following an announcement on March 18 that the IRS is extending the deadline for payment of US Taxes to July 15, 2020, the extension has been applied to the tax return filing date too. Treasury Secretary Steven Mnuchin tweeted, "At @realDonaldTrump’s direction, we are moving Tax Day from April 15 to July 15. All taxpayers and businesses will have this additional time to file and make payments without interest or penalties."
The extension comes as the IRS and the Treasury respond to the unprecedented spread of COVID-19. The IRS website explains that "Income tax payment deadlines for individual returns, with a due date of April 15, 2020, are being automatically extended until July 15, 2020, for up to $1 million of their 2019 tax due. This payment relief applies to all individual returns, including self-employed individuals, and all entities other than C-Corporations, such as trusts or estates. IRS will automatically provide this relief to taxpayers. Taxpayers do not need to file any additional forms or call the IRS to qualify for this relief."
However, the extension doesn't yet offer much solace for overseas Americans. Katelynn Minott, Bright!Tax Partner and Managing CPA, explains that "The IRS has announced a 90 day tax filing extension for all Americans due to Coronavirus, to July 15th. Expats normally get an extension until June 15th, so they have an extra month this year. They can still apply for a further extension until September 19th too, if they require it."
If you do decide to request an extension to your filing deadline, "The IRS reminds individual taxpayers the easiest and fastest way to request a filing extension is to electronically file Form 4868 through their tax professional, tax software or using the Free File link on IRS.gov. Businesses must file Form 7004."
If you have any questions or concerns about your US Tax return filing or payment, contact your tax advisor, or check out our A-List Directory for details on experts in US/UK Tax.