Alabamians in counties under a disaster declaration by the Federal Emergency Management Agency (FEMA) from January storms now have until October to pay their taxes.
Victims of severe storms, straight-line winds, and tornadoes beginning January 12, 2023, now have until October 16, 2023, to file various individual and business tax returns and make tax payments.
According to the Internal Revenue Service (IRS), individuals and families affected by storms that reside or have a business in Autauga, Barbour, Chambers, Conecuh, Coosa, Dallas, Elmore, Greene, Hale, Mobile, Morgan, Sumter and Tallapoosa Counties qualify for a tax deadline delay.
The FEMA disaster declaration permits the IRS to postpone certain tax-filing and tax-payment deadlines for taxpayers who reside or have a business in the disaster area.
Certain deadlines falling on or after January 12, 2023, and before October 16, 2023, are granted additional time to file through October 16, 2023.
Affected individuals and businesses will have until October 16, 2023, to file returns and pay any taxes that were originally due during this period. This includes 2022 individual income tax returns due on April 18 and various 2022 business returns ordinarily due on March 15 and April 18, 2023. Among other things, this means that eligible taxpayers will have until October 16 to make 2022 contributions to their IRAs and health savings accounts.
In addition, farmers who choose to forgo making estimated tax payments and usually file their returns by March 1, 2023, will now have until October 16, 2023, to file their 2022 return and pay any tax due.
The October 16, 2023, deadline also applies to the quarterly estimated tax payments, normally due on January 17 and April 18, 2023. This means that individual taxpayers can skip making the fourth quarter estimated tax payment, normally due January 17, 2023, and instead include it with the 2022 return they file on or before October 16.
The deadline also applies to the quarterly payroll and excise tax returns normally due on January 31, 2023, and April 30, 2023. In addition, penalties on payroll and excise tax deposits due on or after January 12, 2023, and before January 27, 2023, will be abated as long as the tax deposits are made by January 27, 2023.
If an affected taxpayer receives a late filing or late payment penalty notice from the IRS that has an original or extended filing, payment or deposit due date that falls within the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty.
To connect with the author of this story or to comment, email [email protected].
Don't miss out! Subscribe to our newsletter and get our top stories every weekday morning.