Tax Payments Delay – 90 Days Due to Coronavirus

Delay the April 15 tax payment deadline by 90 days

Treasury Secretary Steven Mnuchin:

Now, let me just be clear on the specifics: We encourage those Americans who can file their taxes to continue to file their taxes on April 15, because for many Americans, you will get tax refunds and we don’t want you to lose out on those tax refunds. We want you to make sure you get them. Many people do this electronically, which is easy for them and easy for the IRS.

If you owe a payment to the IRS, you can defer up to a million dollars as an individual. And the reason why we’re doing a million dollars is that covers lots of pass-throughs and small businesses, and $10 million to corporations, interest-free and penalty-free for 90 days. All you have to do is file your taxes. You’ll automatically not get charged interest in penalties.

Now, of course, any American has the right to extend their taxes. We’re not taking that right. But the President has asked us to go up to $300 billion. That’s also an enormous amount of liquidity in the system.

The third thing is the President and I worked on a very significant economic stimulus plan. Thank you for being available last night and throughout this morning. And I will be presenting that to the Republicans in the Senate this morning and also discussing that with the House.

We look forward to having bipartisan support. We’re now working with the Senate to pass this legislation very quickly. And these will be payments to small businesses. We’ve talked about loan guarantees to critical industries such as airlines and hotels. And we’ve also talked about a stimulus package to the American worker. You can think of this as something like business interruption payments for the American workers.

M. Spik

Editor
25 years of experience managing tax, accounting, payroll, and employment-related information portals. Editor of Accounting Portal since 2011.
Read full bio →