Tax Relief Helps Taxpayers Recover from Disasters

Hurricane Dennis came ashore over the weekend, leaving behind a path of destruction that has yet to be assessed. Fortunately, special tax law provisions may help taxpayers recover financially from such major disasters.

President Bush has already declared some of the areas most damaged by Dennis Presidential Disaster Areas. Presidential Disaster Areas are not common but neither are they rare; parts of Pennsylvania, New York and New Jersey were designated presidential disaster areas in April after severe storms and flooding swept through the region..

Since Dennis followed the general path taken by Hurricane Ivan last year, the tax relief provided then may offer hints about what taxpayers might expect this year including the waiving of penalties on late employment and excise tax deposits and extending deadlines for tax payments and returns.

The Internal Revenue Service (IRS) offers an overview of tax-relief for presidentially-declared disaster areas in Topic 515, Casualty, Disaster and Theft Losses. In addition, information about state-specific tax relief information is also available on the IRS web site.

You may like these other stories...

Bank Leumi said to face $300 million demand in tax caseDavid Voreacos and Greg Farrell of Bloomberg reported on Wednesday that New York’s banking regulator will ask for more than $300 million to settle an investigation...
Mike "the Situation" Sorrentino, one of the stars on the former TV show "Jersey Shore," is in the middle of…well, a tax situation.On October 23, the erstwhile reality show attraction was arraigned...
Deal to lock in US tax cuts is bubbling up on the HillSome US lawmakers are exploring a post-election deal that would lock in permanent tax cuts for major corporations and low-income families, Richard Rubin of Bloomberg...

Already a member? log in here.

Upcoming CPE Webinars

Nov 5Join CPA thought leader and peer reviewer Rob Cameron and learn ways to improve the outcome of your peer reviews while maximizing the value of your engagement workflow.
Nov 18In this session Excel expert David Ringstrom, CPA tackles what to do when bad things happen to good spreadsheets.
Nov 19How do you minimize redundant work and unnecessary steps to maximize the amount of work moving through your firm?
Nov 20Kristen Rampe will share how to uncover new opportunities with your clients by asking powerful questions.