Although the mainland didn’t absorb the brunt of Hurricane Maria, the IRS isn’t turning a cold shoulder to U.S. citizens (PR-2017-02, 9/22/17) in American territories in the Caribbean.
Because Puerto Rico was declared a disaster area by President Trump, individuals who reside in or have a business in one of 78 municipalities in Puerto Rico may qualify for special tax relief.
To this end, the IRS is postponing deadlines for taxpayers who reside or have a business in the disaster area.
For instance, those facing certain deadlines falling on or after September 17, 2017 and before January 31, 2018 have been granted additional time to file. They now have until January 31, 2018.
With some exceptions, many of these deadlines were also postponed by the IRS following Hurricane Irma. This includes deadlines for taxpayers who had a valid extension to file their 2016 return that was due to run out on October 16, 2017. It also includes the quarterly estimated income tax payments due on January 16, 2018, as well as the quarterly payroll and excise tax returns normally due on October 31, 2017.
Furthermore, penalties on payroll and excise tax deposits due on or after September 17, 2017, and before October 2, 2017, will be abated as long as the deposits are made by October 2, 2017.
If an affected taxpayer receives a late filing or late payment penalty notice from the IRS that has an original or extended filing, payment or deposit due date that falls within the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty.
About Ken Berry
Ken Berry, Esq., is a nationally known writer and editor specializing in tax, financial, and legal matters. During his long career, he has served as managing editor of a publisher of content-based marketing tools and vice president of an online continuing education company. As a freelance writer, Ken has authored thousands of articles for a wide variety of newsletters, magazines, and other periodicals.