|Frequently Asked Questions
How do I know if live in a covered disaster area for filing and payment relief?
The IRS automatically identifies taxpayers located in Texas and will apply filing and payment relief. However, if an affected taxpayer receives a late filing or late payment notice from the IRS, they should call the number on the notice to have the penalty abated.
Can I get an extension on filing my taxes because of the winter storm?
Yes. Individuals and households affected by severe winter storms that reside or have a business in Texas will have until June 15, 2021, to file their various individual and business tax returns and make tax payments. This extension includes:
· 2020 individual and business returns normally due on April 15th
· Various 2020 business returns due on March 15th
· Making 2020 IRA contributions
· Quarterly estimated income tax payments normally due on April 15th
· Quarterly payroll and excise tax returns normally due on April 30th
· Tax-exempt organizations, operating on a calendar-year basis, that have a 2020 return which would normally be due on May 17th
For more information, please visit the IRS website.
Can I claim a disaster loss on my 2020 tax return?
Individuals and businesses in a federally declared disaster area who suffered uninsured or unreimbursed disaster-related losses can choose to claim them on either the return for the year the loss occurred (in this instance, the 2021 return normally filed next year), or the return for the prior year. This means that taxpayers can, if they choose, claim these losses on the 2020 return they are filling out this tax season. Texans claiming the disaster loss on a 2020 return should put the Disaster Designation, "Texas – Severe Winter Storms," in bold letters at the top of the form. Be sure to include the disaster declaration number, FEMA 4586, on any return. You can learn more by visiting the IRS website.
Will I receive penalties if my income tax payment was originally due on or after February 11th?
Texas taxpayers, who's taxes are due on or after February 11, 2021, and before June 15, 2021 now have until June 15, 2021 to submit their taxes. Affected taxpayers will not be subject to penalties for failure to pay estimated tax installments as long as thier payments are paid on or before June 15, 2021.
Will I receive penalties on payroll and excise tax deposits due on or after February 11th and before February 26th?
Penalties on payroll and excise tax deposits will be abated for Texans as long as their deposits are made by February 26, 2021.