Frisco Bookkeeping and Tax Services Provides Important Tax Filing Date Change Data

The professionals at Frisco Bookkeeping and Tax Services LLC want you to know that the U.S. Treasury Department and Internal Revenue Service have pushed the federal income tax filing date to July 15, 2020, as a result of the coronavirus (COVID-19) pandemic. 

In addition, you won't owe any taxes on your stimulus check payment(s). The check you receive is really just an advanced payment of a tax credit for the 2020 tax year. As such, it won't be included in your taxable income. 

Taxpayers may also defer federal income tax payments to July 15, 2020, without penalties and interest, regardless of the amount owed. This deferment applies to all taxpayers, including individuals, trusts and estates, corporations, and other non-corporate tax filers as well as those who pay self-employment tax.

Taxpayers do not need to file any additional forms or call the IRS to qualify for this automatic federal tax filing and payment relief. Individual taxpayers who need additional time to file beyond the July 15 deadline may request a filing extension by filing Form 4868 through their tax professional, tax software, or by using the Free File link at (IRS.gov). Businesses that require additional time must file Form 7004.

In addition, the IRS urges taxpayers who are due a refund to file as soon as possible. Most tax refunds are still being issued within 21 days.

If you are due a refund from the IRS,  filing electronically with direct deposit is the quickest way to obtain those funds. Although the agency is curtailing some operations during this period, it is continuing with mission-critical operations to support the nation. This includes accepting tax returns and sending refunds. 

  If at any time you require assistance or have questions, please feel free to contact Frisco Bookkeeping and Tax Services LLC at Jennifer_marcus@bookkeepinghelp.com or by phone at (972) 885-0156 at any time.

Individual Returns

The new deadline applies to individual returns with a due date of April 15, 2020, for up to $1 million of the 2019 taxes that are due. This payment relief applies to all individual returns, including self-employed individuals, and all entities other than C-Corporations, such as trusts or estates. The IRS will automatically provide this relief to taxpayers – they do not need to file any additional forms or call the IRS to qualify for this relief.

Stimulus Checks

According to tax experts, you won't owe any taxes on your stimulus check payment(s)? That’s because the payments are not considered income. Instead, they are prepaid tax credits on your 2020 tax returns. This means that you won’t be required to set aside part of your checks — $1,200 for single filers earning $75,000 or less and $2,400 for joint filers earning $150,000 or less, and $500 per child under 17 — to pay any taxes next year. 

C Corporations 

For C Corporations, the income tax payment deadline is being automatically extended until July 15, 2020, for up to $10 million of their 2019 tax due.

This relief also includes estimated tax payments for corporations for the tax year 2020 that are due on April 15, 2020.

Penalties and interest

Penalties and interest will begin to accrue on any remaining unpaid balance as of July 16, 2020. If you file your tax return or request an extension of time to file by April 15, 2020, you will automatically avoid interest and penalties on the taxes paid by July 15.

Federal tax returns only

This relief only applies to federal income tax (including tax on self-employment income) payments otherwise due April 15, 2020, not state tax payments or deposits or payments of any other type of federal tax. Taxpayers also will need to file income tax returns in 42 states (but not Texas) plus the District of Columbia. State filing and payment deadlines vary and are not always the same as the federal filing deadline.  

Contact Frisco Bookkeeping and Tax Services LLC

If you are interested in learning more about or require assistance in paying taxes, please contact Owner Jennifer Marcus via E-mail at Jennifer_marcus@bookkeepinghelp.com or by phone at (972) 885-0156. Please visit our website at www.friscobookkeepingandtaxservices.com, and you may visit our offices located at 10357 Soledad Road in Frisco, Texas (75035).  

We provide a variety of services for individuals and small-to-large companies. Our firm, which boasts more than 18 years of successful, timely, and reliable assistance, offers setup and training of QuickBooks®, QuickBooks® Pro Advisor, Online QuickBooks®, and Online Cloud. We also provide bookkeeping and payroll services, as well as income tax preparation for individuals and businesses.

Owner Jennifer Marcus has earned a Masters Degree in Accounting and Financial Management and is also a CTEC Registered Tax Preparer and a QuickBooks® ProAdvisor.