Official COVID-19 (Coronavirus) and extension thread

I'm nearly done with my tax return. Since I owe a few thousand bucks, I need set up a direct debit payment date.

According to TurboTax's On Demand Tax Guide, "the requested payment date should not be later than April 15, 2020".

Since Treasury Secretary Steven Mnuchin just announced that the IRS will waive interest and penalty charges for 90 days for Americans who owe up to $1 million in taxes. Does this mean that I can safely set the direct debit payment date to some time in July, say, July 15th?

Thanks!

I have the same question

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@hyfeng wrote:

I'm nearly done with my tax return. Since I owe a few thousand bucks, I need set up a direct debit payment date.

 

According to TurboTax's On Demand Tax Guide, "the requested payment date should not be later than April 15, 2020".

 

Since Treasury Secretary Steven Mnuchin just announced that the IRS will waive interest and penalty charges for 90 days for Americans who owe up to $1 million in taxes. Does this mean that I can safely set the direct debit payment date to some time in July, say, July 15th?

 

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First, nothing is official yet, despite the president's announcement.  Watch the IRS web site here

https://www.irs.gov/coronavirus

or Turbotax's blog here,

https://ttlc.intuit.com/community/articles/community-news-announcements/is-the-tax-deadline-delayed-what-to-know-about-coronavirus-covid-19-and-your-taxes/05/1316004

What has been proposed is a delay of the payment deadline if you owe a payment, but not a delay of the filing deadline.  (But nothing is official yet.)

Second, you should expect that if the IRS changes the payment deadline, it will take at least 2 weeks to program the change into Turbotax and release a new update.  

What you can do now is select in Turbotax, "I will pay by mail."  Then whenever you are ready, mail a check or make a direct payment at the IRS web site irs.gov/payments.  You can pay be direct debit from your bank account for free, or use a credit card and pay a service charge.  It would be your responsibility to pay "on time", whatever that turns out to be. 

CNBC is reporting on March 17  that there will be a 3 month delay

https://www.cnbc.com/2020/03/17/treasury-and-irs-to-delay-tax-deadline-by-90-days.html

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@Bees wrote:

CNBC is reporting on March 17  that there will be a 3 month delay

https://www.cnbc.com/2020/03/17/treasury-and-irs-to-delay-tax-deadline-by-90-days.html

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Yes but there are unanswered questions.  It won't be official until the IRS releases a notice, and it will still take time for Turbotax to program a change to allow a debit date post-4/15. 

I have already filed my taxes and owe to the Feds.  I put in a date of 4/15 to have monies withdrawn from my account.  If we do get the delay to pay, will I be able to change this date?

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@vltouchstone wrote:

I have already filed my taxes and owe to the Feds.  I put in a date of 4/15 to have monies withdrawn from my account.  If we do get the delay to pay, will I be able to change this date?

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It is just to soon to be able to answer that question.  Within a day or two the information will be released and we all will know the particulars.

My personal opinion is that no you cannot change the date since the tax return has already been filed and accepted by the IRS.  You would have to cancel the payment and then pay the taxes owed at later date on or before July 15, 2020.  But we all will have to wait and see for the exact instructions from the IRS.

See this TurboTax blog post for the latest TurboTax information - https://blog.turbotax.intuit.com/tax-news/is-the-tax-deadline-delayed-what-to-know-about-coronavirus-covid-19-and-your-taxes-46320/

At this point, we don't know.

We do not currently have the capability to change the auto debit date, or enter a date after 4/15.

An announcement will be made when we do.

@vltouchstone

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@vltouchstone wrote:

I have already filed my taxes and owe to the Feds.  I put in a date of 4/15 to have monies withdrawn from my account.  If we do get the delay to pay, will I be able to change this date?

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There is no way in Turbotax to change the date once you have transmitted your return. 

The IRS has a phone number to cancel or change payment dates, assuming that someone answers.

https://www.irs.gov/payments/pay-taxes-by-electronic-funds-withdrawal

You could also ask your bank to block the withdrawal, and then mail a check or make a payment on the IRS web site before the new deadline.  But the IRS will charge you a "bounced check fee" if they try to make an electronic withdrawal and it is blocked. 

• Once your return is accepted, information pertaining to your payment, such as account information, payment date, or amount, cannot be changed. If changes are needed, the only option is to cancel the payment and choose another payment method.
• Call IRS e-file Payment Services 24/7 at 1-888-353-4537 to inquire about or cancel your payment, but please wait 7 to 10 days after your return was accepted before calling.
• Cancellation requests must be received no later than 11:59 p.m. ET two business days prior to the scheduled payment date.

@hyfeng   You can say that you are paying by check and then wait until last minute to see what regulations will be.  Then use https://www.irs.gov/payments  . 

I filed my taxes , had them accepted and set up my bank to have the money I owe taken out 4/15. How do I go about defer payment for that extra 90 days. Will TurboTax have a procedure in place to do that???

The IRS already had a method in place ... has for years ... once you have successfully filed Turbotax is no longer involved so expect no help from them ...

• Once your return is accepted, information pertaining to your payment, such as account information, payment date, or amount, cannot be changed. If changes are needed, the only option is to cancel the payment and choose another payment method.
• Call IRS e-file Payment Services 24/7 at 1-888-353-4537 to inquire about or cancel your payment, but please wait 7 to 10 days after your return was accepted before calling.
• Cancellation requests must be received no later than 11:59 p.m. ET two business days prior to the scheduled payment date.

what if you e-filed already,IRS accepted and you set up a direct debit for 4/15/20 for the amount you owe and you want to change the direct debit date to 7/15/20  as per the government/IRS proclamation? What is the procedure to get that accomplished?

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@Blorkman567 wrote:

what if you e-filed already,IRS accepted and you set up a direct debit for 4/15/20 for the amount you owe and you want to change the direct debit date to 7/15/20  as per the government/IRS proclamation? What is the procedure to get that accomplished?

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Since this was just announced yesterday, there is no procedure in place yet.  Be patient and the IRS will update their website with information when the procedures have been put into place.

I need a extension . They said they are taking $140 from  account because of two forms 1095A andand a 8962 form. Should of you guys included thease in my taxez that I am paying $140 for

If you have already filed your return, you can not file for an extension for time to file.

This is a self prepared tax software. The forms are available. You are responsible for including your tax forms in your return.

• If the IRS adjusted your refund due to the lack of inclusion, they will send the rest. 
• If you owe the IRS, thanks to the Coronavirus, there is an additional 90 days to pay. You don't need to ask for the extra time to pay.

Related:

• What is tax form 1095-A?
• What if a family member is on my Marketplace plan but is not listed on 2019 my tax return?
• Where do I enter my 1095-A?

@Doublej371

Will using the 90-day payment extension cause any issues if I'm already on an installment plan for a previous year?

Each tax year is separate so it should not effect your installment plan.

@Doublej371  If  you do it this way there should be no additional charge.

Here is how to get the form 8962 filled out. Please note: You are NOT going to amend your return and you are NOT going to add a state return. These directions are quirky but will get the job done.

1.  Log into your return
2. Select that you want to add a state - this lets you into the program without the amend process starting.
3. In the top right corner, locate the Magnifying glass/search  
4. enter the exact words 1095a
5. Select the first entry Jump to 1095a
6. Fill in the 1095a information
7. Print and mail the 8962

The IRS may adjust your refund once they receive your form 8962. 

@gus4113 

Your issue is the same if you do not pay the entire 2019 balance due by 4/15 or 3 months later ... when you are on an installment plan it can be null and void if you do not keep up on all tax liabilities in the future ... so the IRS could cancel the payment plan and demand payment in full if they will not allow you to adjust the current  plan to include the new taxes owed.  

"Relief for Individuals and Businesses with Taxes Due

The Treasury and IRS also announced the deferment of federal tax payments, interest free and penalty free, for 90 days, until July 15. Individuals can defer up to $1 million in payments, and businesses can defer up to $10 million in payments.

What is a federal tax payment? When you file your taxes you either get a refund or owe the IRS money.  If you owe, the amount you pay to the IRS is called a federal tax payment.  "

You get to wait 3 more months as you owe money.

Hi,

I have an underpayment penalty to be paid with the tax. Is that also waived by the COVID-19 relief/extension ?

Thanks.

Hi,

Thanks for the reply. I just want to make sure I'm understanding this correctly:

Under my installment agreement for the 2017 tax year I'm required to "

File all required tax returns on time & pay all taxes in-full and on time

Assuming I continue making payments to my installment agreement, file my tax return by April 15th, 2020, and pay my taxes due for 2019 by July 15, 2020, would I be meeting that requirement?