Tax relief for victims of severe storms in wisconsin

Tax Relief for Victims of Severe Storms in Wisconsin

WI-2018-07, October 19, 2018

WISCONSIN — Victims of severe storms, tornadoes, straight-line winds, flooding, and landslides that took place beginning on Aug. 17, 2018 in Wisconsin may qualify for tax relief from the Internal Revenue Service.

The President has declared that a major disaster exists in the State of Wisconsin. Following the recent disaster declaration for individual assistance issued by the Federal Emergency Management Agency, the IRS announced today that affected taxpayers in certain counties will receive tax relief.

Individuals who reside or have a business in Crawford, Dane, Juneau, La Crosse, Monroe, Richland, Sauk, and Vernon counties may qualify for tax relief.

The declaration permits the IRS to postpone certain deadlines for taxpayers who reside or have a business in the disaster area. For instance, certain deadlines falling on or after Aug. 17, 2018 and before Dec. 17, 2018, are granted additional time to file through Dec. 17, 2018. This includes taxpayers who had a valid extension to file their 2017 return due to run out on Oct. 15, 2018. It also includes the quarterly estimated income tax payments due on Sept. 17, 2018 and the quarterly payroll and excise tax returns normally due on Oct. 31, 2018. It also includes tax-exempt organizations that operate on a calendar-year basis and had an automatic extension due to run out on Nov. 15, 2018.

In addition, penalties on payroll and excise tax deposits due on or after Aug. 17, 2018, and before Sept. 3, 2018, will be abated as long as the deposits were made by Sept. 3, 2018.

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. 

The IRS automatically identifies taxpayers located in the covered disaster area and applies automatic filing and payment relief. But affected taxpayers who reside or have a business located outside the covered disaster area must call the IRS disaster hotline at 866-562-5227 to request this tax relief.

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Breunig CPA, LLC