Official COVID-19 (Coronavirus) and extension thread

[Opus 17]

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@Verhayden wrote:

My refund was taken in an Offset due to my Student Loans. My student loans are currently held with a collection agency. Is it true that up to 75% of offsets are being returned because of COVID-19? If yes, how do I go about initiating that?

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At this time there does not seem to be anything official about returned offsets, other than that it was suggested.

The President did make some temporary changes.  If I read this article correctly, past-due borrowers will be placed in forebearance for 2 months at zero interest, meaning the next two months won't count as missed payments and won't add to your past-due total.  But you should probably just wait for news from your lender.  It will take a while for the executive order to be translated into an actual plan that can be activated by lenders. 

https://www.forbes.com/sites/advisor/2020/03/20/what-you-need-to-know-before-choosing-student-loan-f...

[crmpuf3515]

Does TT (I'm using Premier desktop) require you to file fed and state simultaneously? I always thought so but never cared.  My NY return is still due 4/15.  Is the option here to just e-file both but choose to pay the feds by mail and pay them online at IRS site/mail on July 15?  

[LeonardS]

You have to complete your federal tax return before you can file the state return.  If you have done this and need to file your NY tax return by April 15, 2020 what is the reason you do not want to file your federal tax return at the same time?  If you are waiting for a refund from NY and owe the IRS you can file your federal tax return at the same time as your NY return and pay the IRS on or before July 15, 2020.  

[crmpuf3515]

Hey Leonard - Thanks, and no good reason at all to file at different times - now that I know TT won't make me pay the IRS at the same time I e-file the returns.  It sounds like this is easily handled by filing both on 4/15 and choosing to pay federal later.  

[LeonardS]

Your are most welcome.  Happy to have helped.

[KBCPA1]

Thanks Leonard; I would file both returns and with respect to the Federal reflect that payment will be made by mail. As programmed now TT will assume April 15 in the instruction letter. Maybe that changes with programming changes, but not really relevant I believe.

In any case, I will pay using IRS.gov website using the"Make Payment" link - you can pay 1040 taxes for years 2019 and prior provided you prove identity with prior year info. It appears to be very user friendly. I think making check payments with social security number notations should be avoided these days.

NYS appears to still be up in the air. Intention is there but no official action that is required by law based on    what I have read on the NYSSCPA tax blog. 

[amit2020]

Hello,

Deadline to file my 2016 return were April 15th 2020. I had my return complete and ready to go. Unfortunately I am in INDIA and we are locked down until April 14th.

I cant FedEx my return to meet the deadline. I might have a slight chance of getting April 15th Timestamp from FedEx if its operational right after lock-down is released.

Are there any relief offered by IRS in deadline to file old returns ?

Would it be advisable to connect with IRS by email or phone to get clarification ?

BTW - I do not owe any taxes for 2016, in fact I am expecting a refund.

Please help. Thank You.

[Agthorne]

I have a question concerning the upcoming stimulus payment.  If we elected to have our TurboTax tax filing fees deducted from our return, will we still receive our payment via direct deposit? 

[DoninGA]

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@Agthorne wrote:

I have a question concerning the upcoming stimulus payment.  If we elected to have our TurboTax tax filing fees deducted from our return, will we still receive our payment via direct deposit? 

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Yes, you will.

[Critter]

The NY Times has a good FAQ on what is known at this time : 

https://www.nytimes.com/article/coronavirus-stimulus-package-questions-answers.html

[JohnK2]

I would like to add bank account information to the return (to be e-filed) to speed the processing of the coronavirus relief/stimulus payment , but it seems TurboTax  does not allow me to add the bank account #s because the return shows nil tax due or refund.   

[Critter]

The information they will use is what you did on the 2018 return  NOT the 2019 return.  If you did not have a DD on the 2018 return OR  you do not have the same bank account then the check will be mailed ... nothing you can do about that.   If you have moved and have not filed a 2019 return yet then mail in a form 8822 to get your address updated with the feds.  

[manypennyh]

It is official now.... see IRS.GOV

TurboTax needs to be updated for this so it doesn't try to compute penalties on amounts owed.  I had to go to forms view and delete form 2210 in order to get rid of the penalty that I had worked on last week.

[Critter]

https://www.irs.gov/coronavirus

[Opus 17]

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@manypennyh wrote:

It is official now.... see IRS.GOV

TurboTax needs to be updated for this so it doesn't try to compute penalties on amounts owed.  I had to go to forms view and delete form 2210 in order to get rid of the penalty that I had worked on last week.

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 Any reprogramming will take at least 2 weeks, that's just life.  The developers need to make sure they don't break something else, and many changes need to be pre-approved by the IRS, who also have their hands full.