2 Big Ways Coronavirus Is Impacting Tax Deadlines

The federal tax filing deadline has been extended to July 15 due to the coronavirus pandemic, the U.S. government announced Friday.

Treasury Secretary Steven Mnuchin tweeted about the move, which was then echoed by President Donald Trump during a White House news conference.

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The New Tax Deadline 2020: What You Need to Know

Clark.com is covering how COVID-19 is affecting your financial life, as well helping you prepare for the coming weeks and months.

Here are two big ways tax deadlines are being affected by the coronavirus pandemic so far:

1. Federal Deadline to File & Pay Extended

The federal government's deadline change from April 15 to July 15 means people who owe the IRS will have three months of:

  • No interest accruing
  • No penalties being
“All taxpayers and businesses will have this additional time to file and make payments without interest or penalties,” Mnuchin said in his tweet.

2. State Tax Deadlines May Adjust As Well

The change in the federal tax deadline may well spur states to extend their tax filing and payment deadlines as well.

As it stands, here are some states that have already acted by extending their tax deadlines:

  • California: The state has extended its tax filing deadline to June 15
  • New York: The state extended its tax deadline to July 15 to mirror the federal government
  • Oklahoma: The state has moved the payment deadline to July 15; the filing deadline is still April 15
  • Virginia: The state has extended its tax filing deadline to May 1

We expect other jurisdictions to follow suit, but the best way to know how it affects your personal circumstances is to visit your state government's website for specifics.

Takeaway

Even with so many changes taking place quickly right now, money expert Clark Howard wants you to take charge of your financial situation.

"If you are owed a refund, don't wait," Clark says. "If you prepare your own taxes, go ahead and file your return. Get a refund as quickly as you can."

The #1 thing you can do if you haven't filed already is to take advantage of the IRS Free File program. Check out these free filing options to get started.

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