IRS tax relief to Irene victims: Do you qualify?
IRS says residents in hard-hit areas of New Jersey, New York, and North Carolina will get an extension until Oct. 31 to make tax payments and file certain IRS returns.
For example: Individuals and businesses who had already received an extension to file their 2010 returns will have their filing deadline extended from Sept. 15 to Oct. 31. Ditto for corporations and businesses who had an Oct. 17 deadline; they can now file as late as Oct. 31.
Also, those individuals and businesses making estimated tax payments for the third quarter, normally due Sept. 15, can now make them as late as Oct. 31. Other federal tax transactions can also be delayed. See the IRS announcement for details.
Not only do taxpayers in those areas get more time to file their returns, they also won’t be charged additional interest or penalties. Typically, a taxpayer who asks for an extension to file his annual return still has to pay an interest charge if he owes the government money. Under the tax relief provision, however, the interest only accrues from April 15 through Sept. 15. There’s no extra charge if the taxpayer doesn’t file until Oct. 31.