Updated: March 25, 2020 at 4:00 p.m. PT

In an effort to provide relief to individuals and businesses affected by coronavirus (COVID-19), the White House recently announced changes to the traditional 2020 tax filing season. Additionally, California’s state government recently announced similar relief.

With that in mind, below are answers to frequently asked questions about coronavirus and taxes, focusing both federal and California tax filings, as well as our role here at Stees, Walker & Company, LLP.

Q. What’s is Stees, Walker & Company, LLP’s role during this time?

A. Accounting firms such as ours employ personnel who have been designated by the State of California (according to Executive Order N-33-20) as part of the “essential” workforce that is needed right now. Not only are we assisting with current tax season issues for individuals and business entities, but we consider ourselves to be part of the financial front line — ready and able to assist businesses take steps now to successfully get back to work as usual when the State’s stay at home order is lifted.

Q. What is the IRS’ role in the National Emergency Concerning the Novel Coronavirus Disease (COVID-19) Outbreak?

A. Under the Stafford Act, the IRS Disaster Assistance and Emergency Relief Program provides administrative tax relief to taxpayers and tax practitioners affected by a federally declared disaster in areas FEMA identifies for its Individual Assistance to Households and Families Program.

Authorized tax relief and other assistance the IRS is authorized to provide includes:

• Extending tax return filing deadlines
• Extending tax payment deadlines
• Waiving penalty and interest charges normally applied to late filing and payment
• Providing free copies of tax return transcripts
  • Tax return records are often needed to claim benefits, file insurance claims, replace lost financial records, etc.
• Expediting amended tax returns claiming a casualty loss and refund resulting from the disaster.

Q. What accommodations has the Internal Revenue Service (IRS) made to help individual and business taxpayers during the National Emergency Concerning the Novel Coronavirus Disease (COVID-19) Outbreak?

A. In addition to the IRS establishing a special section focused on steps to help taxpayers, businesses, and others affected by COVID-19 — on Friday, March 20, 2020, the U.S. Secretary of the Treasury announced that the current federal tax filing deadline has been extended from April 15, 2020 to Continue reading… Continue reading… Continue reading…