IRS provides tax relief for taxpayers affected by winter storms in Louisiana

IRS provides tax relief

The IRS announced that taxpayers in Louisiana affected by winter storms that began February 11-19, 2021, now have until June 15, 2021, to file various individual and business tax returns and make tax payments.

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The IRS release—LA-2021-02 (March 10, 2021)—explains that after the disaster declaration by the Federal Emergency Management Agency, affected taxpayers in all 64 parishes may be eligible for tax relief. This includes individuals and households affected by the severe winter storms if residing or having a business in any of these parishes. The declaration permits the IRS to delay certain tax-filing and tax-payment deadlines for taxpayers who reside or have a business in the disaster area.

  • Certain deadlines falling on or after February 11, 2021, and before June 15, 2021, are postponed through June 15, 2021. This includes:
    • 2020 business returns, normally due on March 15
    • Individual and business returns normally due on April 15
    • The special March 1 filing and payment deadline for farmers and fishers who forgo making estimated tax payments
  • Taxpayers also have until June 15 to make 2020 IRA contributions.
  • The June 15, 2021 deadline applies to the first quarter estimated tax payment due on April 15. It also applies to the quarterly payroll and excise tax returns normally due on April 30, 2021.
  • The postponed deadline applies to tax-exempt organizations, operating on a calendar-year basis, that have a 2020 return due on May 17, 2021.
  • Penalties on deposits due on or after February 11, 2021, and before February 26, 2021, will be abated as long as the tax deposits were made by February 26, 2021.

If an affected taxpayer receives a late-filing or late-payment penalty notice from the IRS that has an original or extended filing, payment or deposit due date that falls within the postponement period, the taxpayer is directed to call the telephone number on the notice to have the IRS abate the penalty. 

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