IRS Grants Filing and Payment Deadline Relief to Taxpayers in Florida Counties Impacted by Hurricane Irma

In response to the extensive damage and disruption caused by Hurricane Irma, the Internal Revenue Service (IRS) has issued a notice that certain filing and payment deadlines for taxpayers residing or having their place of business in specifically designated counties will be extended until January 31, 2018.

The IRS notice covers the following Florida counties: Brevard, Broward, Charlotte, Citrus, Clay, Collier, DeSoto, Duval, Flagler, Glades, Hardee, Hendry, Hernando, Highlands, Hillsborough, Indian River, Lake, Lee, Manatee, Marion, Martin, Miami-Dade, Monroe, Okeechobee, Orange, Osceola, Palm Beach, Pasco, Pinellas, Polk, Putnam, Sarasota, Seminole, St. Johns, St. Lucie, Sumter, and Volusia.

The tax relief postpones various tax filing and payment deadlines that occurred starting on September 4, 2017. The IRS gives affected taxpayers until January 31, 2018, to file most tax returns that have either an original or extended due date occurring on or after September 4, 2017, and before January 31, 2018. Affected taxpayers that have an estimated income tax payment originally due on or after September 4, 2017, and before January 31, 2018, will not be subject to penalties for failure to pay estimated tax installments as long as such payments are paid on or before January 31, 2018.

The extension of the filing and payment deadlines to January 31, 2018 includes:

• The September 15, 2017 and January 16, 2018 quarterly estimated tax payments.

• 2016 tax returns for individual filers who have already received a tax-filing extension until October 16, 2017. The extension covers income tax returns and gift tax returns. Note however that the filing extension does not provide relief for payment with respect to a return, as the payment was due on April 18, 2017.

• 2016 calendar-year fiduciary income tax returns for estates and trusts that have already received a tax-filing extension until October 2, 2017. The filing extension in this case also does not provide relief for payment with respect to a return, as the payment was due on April 18, 2017.

• 2016 fiduciary income tax returns for estates and trusts that file on a fiscal year and have either an original or extended due date occurring on or after September 4, 2017, and before January 31, 2018.

• Federal estate tax returns that have either an original or extended due date occurring on or after September 4, 2017, and before January 31, 2018. 

• 2016 calendar-year partnership tax returns for entities with extensions that have already received an extension until September 15, 2017.

• 2016 calendar-year tax returns for S-Corporations and C-Corporations that have already received a tax-filing extension until October 16, 2017. The filing extension in this case also does not provide relief for payment with respect to a return, as the payment was due on April 18, 2017.

• Quarterly payroll and excise tax returns that otherwise would be due on October 31, 2017.

• 2016 calendar-year returns for tax-exempt organizations with extensions that have already received an extension until November 15, 2017.

The IRS automatically provides filing and penalty relief to any taxpayer with an IRS address of record located in the disaster area. Taxpayers therefore should not need to contact the IRS to get this relief. An affected taxpayer who receives a late filing or late payment penalty notice from the IRS that has an original or extended filing, payment, or deposit due date falling within the postponement period should call the number on the notice to have the penalty abated.

Taxpayers who live outside the designated counties, but whose records necessary to meet a deadline occurring during the postponement period are located in the designated counties, may also qualify for this relief.

Individuals and businesses who suffered uninsured or unreimbursed disaster-related losses may be able to claim such losses on either the return for 2017 or the return for 2016.

For additional information about this issue, or to discuss whether you or your organization qualify for this relief, please contact your Quarles & Brady attorney or the following: in Naples, Bradley G. Rigor at (239) 659-5032/brad.rigor@quarles.com, or Kimberley A. Dillon at (239) 434-4965/kimberley.dillon@quarles.com; and in Tampa, Robert J. Kline at (813) 384-6710/robert.kline@quarles.com, or Jennifer L. Griffin at (813) 387-0277/jennifer.griffin@quarles.com.