The IRS has announced (IR-2021-43) that victims of the recent Texas winter storms will have until June 15, 2021, to file various individual and business tax returns, and pay the associated tax, if the original deadlines fell on February 11, 2021 or later.

Returns and payments to which the June 15, 2021, deadline applies include:

• 2020 individual and business returns (generally due on March 15 or April 15, 2021)
• Quarterly estimated income tax payments (due on April 15, 2021)
• Quarterly payroll and excise tax returns (due on April 30, 2021)
• 2020 returns for tax-exempt organizations operating on a calendar-year basis (due on May 17, 2021)
• 2020 IRA contributions (due on April 15, 2021)

In addition, penalties on payroll and excise tax deposits due on or after February 11, 2021, and before February 26, 2021, will be abated if made by February 26, 2021. The IRS disaster relief page has details on other returns, payments and tax-related actions qualifying for the extension.

This relief is available to taxpayers in the entire state of Texas, and those in other states affected by the winter storms that received similar FEMA disaster declarations. A current list of eligible localities is available on the IRS disaster relief page. In addition, the IRS said it will work with affected taxpayers who live outside the disaster area but whose records are located in the affected area.

Implications

The IRS will automatically provide filing and penalty relief to any taxpayer with an IRS address-of-record located in the declared disaster area. Although taxpayers need not contact the agency to obtain relief, it is advisable to include at the top of the first page of any paper-filed return a short statement identifying the taxpayer as qualifying for a disaster-related extension.

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