Department of the Treasury Announces 90 Day Tax Payment Extension

The US Department of the Treasury announced their plan to extend payments due by the April 15th tax deadline by 90 days for individuals and many businesses. Official details have not been released; however, based on the announcement it seems many taxpayers will benefit from the extension. We expect more information to be provided shortly. Here are some key points from the briefing:

Announcement

  • Treasury Secretary Steven Mnuchin announced his department is pushing back the April 15th payment deadline for 2019 taxes by 90 days for taxes owed.
  • Individuals owing less than $1,000,000 can wait to pay the tax bill by deferring up to $1,000,000 of tax liability until July 15th.
  • Corporations can defer up to $10,000,000 of tax liability until July 15th.

Waiting to be extended

  • Some state filings and payments will still be required by April 15th unless they respond with similar relief
  • First quarter estimated tax payments are still due April 15th. Payments may still be under consideration for an extended due date.

Waiting on details

  • It is unclear as to what is required from individuals owing more than $1,000,000 or corporations owing more than $10,000,000.

Taxpayers are still required to file by April 15th and this is merely an extension of time to pay taxes owed.  More clarification is especially important for taxpayers who have certain information reporting included in their filings with hefty late-filing or failure to file penalties. We encourage you to use this time to submit any final tax records to ATKG in order to allow us amply time to complete tax filings accordingly. Documents can be securely uploaded to ATKG’s client portal or delivered to our office.

Please don’t hesitate to contact us with any questions you might have. We thank you for your continued confidence and trust in ATKG.

Melanie Kirk is a Certified Public Accountant and serves as the firms Managing Partner. A graduate of Trinity University with a Bachelor of Science with a concentration in accounting, Melanie‚Äôs CPA experience is both broad and deep: real estate, farm and ranch, oil and gas, retail and professional services. For further information please contact Melanie or another ATKG tax professional at 210.733.6611 or mkirk@atkgcpa.com.