IRS provides tax relief for taxpayers affected by February 2021 storms in Kentucky

Certain deadlines falling on or after February 27, 2021, and before June 30, 2021, are postponed through June 30, 2021

Affected taxpayers may be eligible for tax relief

The IRS today announced that taxpayers in Kentucky affected by severe storms, flooding, landslides, and mudslides that began February 27, 2021, now have until June 30, 2021, to file various individual and business tax returns and make tax payments.

The IRS release—KY-2021-01 (April 29, 2021)—explains that after the disaster declaration by the Federal Emergency Management Agency, affected taxpayers in Boyd, Breathitt, Carter, Casey, Clay, Cumberland, Elliott, Estill, Floyd, Franklin, Jackson, Johnson, Knott, Knox, Lawrence, Lee, Lincoln, Magoffin, Marion, Martin, Mason, Morgan, Ohio, Pike, Powell, Rockcastle, and Wolfe counties  may be eligible for tax relief. This includes individuals and households affected by the severe storms, flooding, landslides and mudslides if residing or having a business these counties. The declaration permits the IRS to postpone 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 27, 2021, and before June 30, 2021, are postponed through June 30, 2021, including the May 17 deadline for filing 2020 individual income tax returns and paying any tax due.
  • Taxpayers also have until June 30 to make 2020 IRA contributions.
  • The June 30, 2021 deadline applies to the first quarter estimated tax payment and to 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 27, 2021, and before March 15, 2021, will be abated as long as the tax deposits were made by March 15, 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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