New Jersey Residents Have Until July 15 to File Their Federal Returns, Pending Law Would Extend State Income Tax Deadline as Well

The Internal Revenue Service (IRS) has extended the federal income tax deadline for all taxpayers from April 15 to July 15. This applies to filings and payment, and it is an automatic extension so taxpayers do not have to file anything on April 15.

New Jersey has not yet extended the state filing deadline; however, there is currently a proposed law awaiting Governor Murphy’s signature that would align the state deadline with any federal extension. If the bill becomes law, then New Jersey residents will have an additional 90 days to file their returns and submit payment to the IRS and the New Jersey Division of Taxation.

Tax Deadline Extension is Intended to Provide Relief to Those Impacted by the Novel Coronavirus Pandemic

The Tax Day extension is intended to provide relief to individuals and businesses that have been negatively impacted by the novel coronavirus pandemic. As the IRS explains, “The Treasury Department and the Internal Revenue Service are providing special tax filing and payment relief to individuals and businesses in response to the COVID-19 Outbreak.” However, all taxpayers can delay their filings regardless of whether they or their businesses have experienced direct financial effects.

For those who are entitled to refunds, there is no requirement to wait until July 15 to file. In fact, the IRS is, “urg[ing] taxpayers who are owed a refund to file as quickly as possible.”

Additionally, for those that are unable to submit their filings by July 15, the ordinary extension options remain available. For individuals, requesting an extension involves filing IRS Form 4868. Businesses can request an extension by filing IRS Form 7004.

Taxpayers that have already filed with the IRS may be eligible to delay their scheduled tax payments. Taxpayers can delay electronic funds transfer (EFT) payments by contacting the U.S. Treasury Department, and they can delay payments through IRS Direct Pay or the Electronic Federal Tax Payment System (EFTPS) by updating the payment dates in these systems. Delay requests must be submitted at least two days prior to the currently-scheduled payment date.

What if I Can’t Afford to Pay My (or My Business’s) Taxes Due to the Novel Coronavirus Pandemic?

Even with the July 15 extension, many taxpayers are still likely to find it difficult or impossible to pay what they owe on time. If you find yourself in this situation, you should seek help from an experienced New Jersey tax attorney promptly. You have options available, and addressing the issue proactively is a far better option than missing the deadline and facing the consequences. To discuss your situation with an attorney at Thorn Law Group, request a confidential consultation today.

Request a Confidential Consultation with a New Jersey Tax Attorney at Thorn Law Group

Do you have concerns about your state or federal tax liability due to the novel coronavirus pandemic? To speak with a New Jersey tax attorney at Thorn Law Group in confidence, call 201-355-8202 or email Managing Partner Kevin E. Thorn today.