Tax Deadlines Extended for Puerto Rico Storm Victims – Kiplinger’s Personal Finance

The IRS has granted victims of a recent natural disaster in Puerto Rico more time to file various individual and business tax returns and make tax payments. Specifically, victims of the severe storms, flooding and landslides that began on February 4, 2022, now have until June 15, 2022, to file and pay tax returns and payments due between February 4 and June 14.

The tax relief is available to anyone in any area designated by the Federal Emergency Management Agency (FEMA) as qualifying for individual assistance. At this point, only affected taxpayers who live or have a business in Cataño, Dorado, Toa Baja, Vega Alta and Vega Baja qualify for the extensions, but the IRS will offer the same relief to any taxpayers in other Puerto Rico localities designated by FEMA later.

The IRS will also work with other people who live outside the disaster area but whose tax records are in the disaster area. Call the IRS at 866-562-5227 if you face this situation. This also includes workers assisting the relief activities who are affiliated with a recognized government or philanthropic organization and anyone visiting the impacted area who was killed or injured as a result of the disaster.

Deadlines Extended

The deadlines that are pushed back include the April 18, 2022, due date for filing a 2021 personal income tax return and paying 2021 taxes, and various business returns normally due March 15 and April 18. Storm victims in the designated area will also have until June 15 to make 2021 IRA contributions.

Puerto Rico storm victims will also get more time to make the first quarterly estimated tax payment for the year that’s due on April 18, 2022. In addition, farmers who would normally skip estimated payments and file their returns by March 1, 2022, can now wait until June 15 to file their 2021 return and pay any tax due.

The due date for quarterly payroll and excise tax returns normally due on May 2, 2022, are extended to June 15 for Puerto Rico storm victims, too. Penalties on payroll and excise tax deposits due from February 4 to February 21 will also be waived as long as the deposits were made by February 22, 2022.

Taxpayers don’t need to contact the IRS to get this relief. However, if an affected person receives a late filing or late payment penalty notice from the IRS, he or she should call the number on the notice to have the penalty abated.

Deduction for Damaged or Lost Property

Victims of the Puerto Rico storms, flooding and landslides may be able to claim a tax deduction for unreimbursed damaged or lost property. To do so, they typically must itemize and file Schedule A with their tax return. However, victims who claim the standard deduction may …….

Source: https://www.kiplinger.com/taxes/tax-deadline/604496/tax-deadlines-extended-for-puerto-rico-storm-victims

Leave a Reply

Your email address will not be published.