IRS Coronavirus Tax Relief

This page will provide updates on tax relief provided by the IRS in response to the Coronavirus pandemic.

High-deductible Health Plans can Cover Coronavirus Costs

On March 11, 2020, the IRS announced that high-deductible health plans (HDHPs) can pay for 2019 Novel Coronavirus (COVID-19)-related testing and treatment, without jeopardizing their status.

This also means that an individual with an HDHP that covers these costs may continue to contribute to a health savings account (HSA).

Tax Payment Extensions for Taxpayers & Small Businesses

On March 17, 2020, the Treasury announced that it is allowing taxpayers to defer tax payments, without interest or penalties, for certain individuals and businesses negatively impacted.

  • Families and small businesses can defer tax payments for 90 days. This covers a broad range of Americans, including small businesses that file as individuals who owe up to $1 million, and other categories of small businesses, sole proprietors, and corporations owing up to $10 million.
  • Penalties and interest that would otherwise apply during this nearly three-month period will be waived.

Extension of April 15 Tax Deadline to July 15

On 3/20/20 Treasury Secretary Steven Munchin announced that the tax filing deadline was extended from April 15 to July 15. All taxpayers and business will have this additional time to file and make payments without interest or penalties.

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