As Feds Change Tax Deadlines, Will States Do the Same?
Almost every year April 15 is known as the date when federal and state income tax filings are due. This rule is generally true, except for during 2020. The Internal Revenue Service (IRS) recently announced that it is extending the deadline to both file and pay federal income taxes to July 15, 2020. The move is designed to help provide some relief to taxpayers as we navigate the current coronavirus pandemic.
Does this mean states will do the same?
It is important to note that state and federal tax systems are different. A change to the federal tax system generally does not automatically translate to a change in the system used within each state. As a result, the IRS’ announcement does not automatically mean each state also has a delayed tax due date.
Currently, the Maryland Comptroller has announced income tax return deadline is extended to July 15. The District of Columbia, Connecticut, Delaware and New York have announced similar extensions.
What does this mean for taxpayers?
The issue is continually evolving. The IRS and local state tax authorities are regularly posting updates and changes to tax filing and payment expectations may continue. We will provide additional updates as they become available. However, taxpayers are wise to prepare to evolve with these uncertain times. Although filing and payment is not currently due, it is still a good idea to gather necessary paperwork and get everything in order. This will make the filing process much easier when it does come due.