On March 10, 2021, the IRS announced that victims of recent severe winter storms have until June 15, 2021, to file individual and business tax returns.
Taxpayers who reside or own a business in Louisiana will receive tax relief. Specifically, tax deadlines falling on or after February 11, 2021, and before June 15, 2021 are postponed through June 15, 2021 for the following tax types of tax filings: individual, corporate, and estate and trust income tax returns; partnership returns, S corporation returns, and trust returns; estate, gift, and generation-skipping transfer tax returns; annual information returns of tax-exempt organizations; and employment and certain excise tax returns.
This extension also applies to tax payment deadlines between February 11, 2021 and June 15, 2021, including first quarter estimated tax payments generally due on April 15, 2021.
The IRS decision comes after President Biden approved a major disaster declaration as a result of the February 11-19, 2021 winter storms. Major power and water system outages impacted roughly one-quarter of the Louisiana population.
The State of Louisiana has not yet announced whether they will follow any federal extensions or allow extended time for filing state returns due to the winter storms. The IRS made an announcement regarding tax relief and deadline extensions for the state of Texas on February 22, 2021.
P&N professionals are closely monitoring developments throughout this unprecedented tax season, and will provide additional updates. If you have questions about your tax obligation or the updated deadlines, please contact your P&N tax advisor.