TAX DEADLINE MOVED TO JULY 15!!

Now if NJ would follow. 


cramer said:

Now if NJ would follow. 

 I'm sure they will.  It makes no sense to have two different dates


You would think. But NJ can be its own special hell when it comes to taxes. For example, it never ceases to amaze me that a simple IRA contribution is deductible for federal but not for NJ.


I believe that part of the packet of legislation that was passed (or is being addressed) this week included legislation to do this if the federal government did.

I think that bill said 30 day delay, but I will be very surprised if they don't conform to the federal schedule.


What about tax payers who make quarterly payments — April, June, September and January?


Deleted yesterday's post, which was based on 3/18 IRS info.  As of 3/20, the April 15 deadline is extended to July 15 for both filing the return and paying the tax.

https://www.irs.gov/pub/irs-drop/n-20-18.pdf

fed filing extended to 7/15 and payments due 4/15 extended to 7/15.  it appears est tax payment due 6/15 still due 6/15 ( for now until more clarification perhaps)


mtierney said:

What about tax payers who make quarterly payments — April, June, September and January?

"What about estimated tax payments? The relief also includes estimated tax payments for the tax year 2020 that are due on April 15, 2020. Please note that there is a second estimated tax payment due during the deferral - the one due June 15, 2020 - but the IRS has not indicated that amount is eligible for deferral. The Notice and subsequent guidance continue to specifically reference estimated payments “that are due on April 15, 2020.”

https://www.forbes.com/sites/kellyphillipserb/2020/03/19/all-you-wanted-to-know-about-the-recent-irs-tax-payment-relief-but-were-afraid-to-ask/#1512db7045d5

"The relief only applies to federal income tax payments and federal income tax returns. This includes self-employment income tax for the 2019 taxable year, and federal estimated income tax payments due on April 15, 2020, for the 2020 taxable year.

(The Senate proposal would extend all estimated payments for 2020 to October 15, 2020, but that’s just a bill under consideration.)"

https://www.forbes.com/sites/kellyphillipserb/2020/03/20/irs-pushes-filing-and-payment-deadlines-to-july-15/#1dc4f3e923e2

eta _ This is the wording of the IRS news release: 

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

https://www.irs.gov/newsroom/payment-deadline-extended-to-july-15-2020

So as it now stands, unless the Senate proposal to extend all estimated payments to Oct. 15 is adopted, the estimated tax payment due on June 15 is due on June 15, and the estimated payment due on April 14 is due on July 15. 


cramer said:

mtierney said:

What about tax payers who make quarterly payments — April, June, September and January?

"What about estimated tax payments? The relief also includes estimated tax payments for the tax year 2020 that are due on April 15, 2020. Please note that there is a second estimated tax payment due during the deferral - the one due June 15, 2020 - but the IRS has not indicated that amount is eligible for deferral. The Notice and subsequent guidance continue to specifically reference estimated payments “that are due on April 15, 2020.”

https://www.forbes.com/sites/kellyphillipserb/2020/03/19/all-you-wanted-to-know-about-the-recent-irs-tax-payment-relief-but-were-afraid-to-ask/#1512db7045d5

"The relief only applies to federal income tax payments and federal income tax returns. This includes self-employment income tax for the 2019 taxable year, and federal estimated income tax payments due on April 15, 2020, for the 2020 taxable year.

(The Senate proposal would extend all estimated payments for 2020 to October 15, 2020, but that’s just a bill under consideration.)"

https://www.forbes.com/sites/kellyphillipserb/2020/03/20/irs-pushes-filing-and-payment-deadlines-to-july-15/#1dc4f3e923e2

eta _ This is the wording of the IRS news release: 

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

https://www.irs.gov/newsroom/payment-deadline-extended-to-july-15-2020

So as it now stands, unless the Senate proposal to extend all estimated payments to Oct. 15 is adopted, the estimated tax payment due on June 15 is due on June 15, and the estimated payment due on April 14 is due on July 15. 

 The article you linked on the irs.gov site says "Penalties and interest will begin to accrue on any remaining unpaid balances as of July 16, 2020. You will automatically avoid interest and penalties on the taxes paid by July 15." So that indicates that the second payment could also be deferred to July 15th. 


Can I file before July 15th but not pay until then?  In other words, am I expected to pay when I file (assuming I file before July 15th)?


yahooyahoo said:

Can I file before July 15th but not pay until then?  In other words, am I expected to pay when I file (assuming I file before July 15th)?

 I do that. File early, pay at last moment. You can either mail a payment voucher in later or pay online using EFTPS.

https://www.eftps.gov/eftps/


What about NJ state income tax?  Is that delayed until 7/15 also?


Hello45 said:

What about NJ state income tax?  Is that delayed until 7/15 also?

 no nj news yet-thought they are looking at extending to 6/30/20 ( but have not yet)


NJ had a proposed bill that said the tax deadline would automatically change if the Federal government changed it.  I don't know if it has passed yet.


nj not yet ( but expected)  PA & NY both have extended to 7/15


On Thursday, Murphy said that will "almost certainly" sign a tax extension bill but that he wanted to see how much aid N.J. receives from the Congressional bill that was signed yesterday. Unlike the federal government, N.J. cannot run a deficit. Since N.J. gets most of its revenue from the state income tax, how is N.J. going to be able to pay its bills if the tax payment deadline is extended?  Gov. Cuomo referred to this problem at one of his press conferences this week. The bill that was signed yesterday only provides financial relief to the states for their Coronavirus expenses, and not for any lost revenues.  Speaker Pelosi said that the would be handled in the next set of bills. 

"But Murphy, a first-term Democrat, suggested during Thursday’s briefing that he wants to see exactly what New Jersey ends up getting in the federal economic-stabilization measure that could get final approval as early as Friday before making a final decision on any state tax-filing extension."

https://www.njspotlight.com/2020/03/murphy-will-almost-certainly-announce-state-tax-filing-extension-but-wont-say-when/


cramer said:

On Thursday, Murphy said that will "almost certainly" sign a tax extension bill but that he wanted to see how much aid N.J. receives from the Congressional bill that was signed yesterday. Unlike the federal government, N.J. cannot run a deficit. Since N.J. gets most of its revenue from the state income tax, how is N.J. going to be able to pay its bills if the tax payment deadline is extended?  Gov. Cuomo referred to this problem at one of his press conferences this week. The bill that was signed yesterday only provides financial relief to the states for their Coronavirus expenses, and not for any lost revenues.  Speaker Pelosi said that the would be handled in the next set of bills. 

I read that NJ is cutting expenses by getting rid of the Homestead Rebate and the Senior Freeze and some other programs, like the crime compensation fund. For those recipients what the federal government gives in one hand the state will take away in the other. The NJ decision was made right after the feds decided on the 1200 per adult payment. 

But state aid to schools is remaining at the current level. Which doesn't make sense. Aren't school expenses lower due to savings in transportation, building maintenance and utility costs?

NJ cannot run a deficit. But can't NJ, like the feds, issue more bonds?

If NY and PA moved their tax deadlines up, why can't NJ manage? Are we special?


Teachers are still paid, and schools are still maintained and heated.  


BG9 said:

cramer said:

On Thursday, Murphy said that will "almost certainly" sign a tax extension bill but that he wanted to see how much aid N.J. receives from the Congressional bill that was signed yesterday. Unlike the federal government, N.J. cannot run a deficit. Since N.J. gets most of its revenue from the state income tax, how is N.J. going to be able to pay its bills if the tax payment deadline is extended?  Gov. Cuomo referred to this problem at one of his press conferences this week. The bill that was signed yesterday only provides financial relief to the states for their Coronavirus expenses, and not for any lost revenues.  Speaker Pelosi said that the would be handled in the next set of bills. 

I read that NJ is cutting expenses by getting rid of the Homestead Rebate and the Senior Freeze and some other programs, like the crime compensation fund. For those recipients what the federal government gives in one hand the state will take away in the other. The NJ decision was made right after the feds decided on the 1200 per adult payment. 

But state aid to schools is remaining at the current level. Which doesn't make sense. Aren't school expenses lower due to savings in transportation, building maintenance and utility costs?

NJ cannot run a deficit. But can't NJ, like the feds, issue more bonds?

If NY and PA moved their tax deadlines up, why can't NJ manage? Are we special?

Gov. Cuomo said that New York has to prepare a budget. If NY doesn't receive money from the federal government it will just have to go almost on a pay as you go basis and cut back spending as needed. 

NJ has the second lowest bond rating in the country, only above Illinois. The cost of borrowing is made greater because of this. In addition, the municipal bond market has taken a gigantic hit because of what's been going on in the stock market, and many issuers have decided not to bring new issues to the market. Under the present climate, it would be extremely expensive for NJ to try to sell new bonds. 

"To help provide more of a cushion, the Murphy administration put nearly $1 billion in FY2020 discretionary spending in reserve late last week. But Murphy has also said repeatedly that federal aid will be necessary to help his administration navigate significant revenue losses expected in the final months of the current fiscal year.
“Knowing what’s in the federal bill, and knowing that it’s actually been signed into law, gives us a little bit firmer footing to look at what the next sort of 30 days looks like,” Murphy said on Thursday."

We have to hope that further legislation in Washington provides some relief for the states. 


FilmCarp said:

Teachers are still paid, and schools are still maintained and heated.  

They need to heat the whole building 70 degrees? They need electricity to light the classrooms or power their equipment? The need to buy fuel for their vehicles?

I think they can adjust, give back some state aid instead of hitting the cash poor elderly's senior freeze. Or hitting victims who deserve some crime compensation money.

I can see dropping the homestead rebate or limiting the senior freeze to a lower income level.


cramer said:

We have to hope that further legislation in Washington provides some relief for the states. 

 The Trump admin has it in for the blue states. I wouldn't count on much relief even though we're the ones who enrich the country. NY got one billion in relief even though the state gives the feds 27 billion more in each than it gets back.


BG9 said:

FilmCarp said:

Teachers are still paid, and schools are still maintained and heated.  

They need to heat the whole building 70 degrees? They need electricity to light the classrooms or power their equipment? The need to buy fuel for their vehicles?

I think they can adjust, give back some state aid instead of hitting the cash poor elderly's senior freeze. Or hitting victims who deserve some crime compensation money.

I can see dropping the homestead rebate or limiting the senior freeze to a lower income level.

 Those costs are almost nothing relative to the overall expenses.  This is going to hurt everyone, seniors included.  Our family has had no income for three weeks, and will not have any until unemployment actually gets processed, which is pretty backed up.  Homestead rebates are great when we can afford them.  We may not be able to do that right now.  I suspect all state grants and other aid are being pulled back as we speak.  

  this truly sucks, but the lesson all of us need to learn is to pay more in taxes when things are good to retire state debt and have a cushion when things are bad.  For a whole generation we have said " give me the breaks I want now and pay for them later".  We have to turn that around as soon as we can.


FilmCarp said:

BG9 said:

FilmCarp said:

Teachers are still paid, and schools are still maintained and heated.  

They need to heat the whole building 70 degrees? They need electricity to light the classrooms or power their equipment? The need to buy fuel for their vehicles?

I think they can adjust, give back some state aid instead of hitting the cash poor elderly's senior freeze. Or hitting victims who deserve some crime compensation money.

I can see dropping the homestead rebate or limiting the senior freeze to a lower income level.

 Those costs are almost nothing relative to the overall expenses.  This is going to hurt everyone, seniors included.  Our family has had no income for three weeks, and will not have any until unemployment actually gets processed, which is pretty backed up.  Homestead rebates are great when we can afford them.  We may not be able to do that right now.  I suspect all state grants and other aid are being pulled back as we speak.  

  this truly sucks, but the lesson all of us need to learn is to pay more in taxes when things are good to retire state debt and have a cushion when things are bad.  For a whole generation we have said " give me the breaks I want now and pay for them later".  We have to turn that around as soon as we can.

We don't know that.

There may be seniors that lived their most of their life in their houses. They paid 40,000 when young for the house, a house that would cost them 13,000 in property tax where it not for the senior freeze reducing the burden by half. If their income is 25,000 a year, jumping their tax by 6,500 would be their largest overall expense.

We can always tell that senior, sorry you're forced to sacrifice. If you can no longer afford you can always sell and move to a trailer park or something. That is if anyone is buying now.

Have we cut back on the NJ civil service or will they be able to float along at full pay?  Will sacrifice be shared by private employees, the retired and public employees? Or just shared among private laid off or salary reduced workers and the retired?


I would bet that most people are going to assume that their State Returns are not due until their Federal Returns are due. Can one complete the State forms without information from the Federal Forms. If not how many people now knowing the July 15 deadline won't even begin to do their taxes or go to a tax preparer or accountant until June


"The Senate’s $2 trillion coronavirus relief bill may be the largest rescue package in U.S. history, but it doesn’t provide nearly enough for New York state, Gov. Andrew Cuomo said Wednesday.

The bill, tentatively approved early Wednesday, “would really be terrible for the state of New York,” Cuomo said at his daily briefing in Albany."

..........

“The gross political manipulation is obvious,” Lever said. “Compounding this inequity is the fact that New York State contributes more to the federal government than any other state in the nation. It is just another case of politics over sound policy.”

........

"Amid the back-and-forth over the provisions this week, House Speaker Nancy Pelosi released her own proposal, which laid out the Democrats’ agenda and was criticized by Republicans as an ideological wish list.

Cuomo, however, said Pelosi’s plan would have provided more for New York than the current bill in the Senate.

“We need more federal help than this bill gives us. The House bill would have given us $17 billion. The Senate bill gives us $3 billion,” Cuomo said. “That’s a dramatic, dramatic difference.”

https://www.cnbc.com/2020/03/25/coronavirus-money-senate-bill-would-be-terrible-for-new-york-cuomo-says.html

The Senate Republicans are not going to help the blue states. Murphy will agree to an extension, but the problem is where are cuts going to be made. NJ was in bad financial shape even before this. 


STANV said:

I would bet that most people are going to assume that their State Returns are not due until their Federal Returns are due. Can one complete the State forms without information from the Federal Forms. If not how many people now knowing the July 15 deadline won't even begin to do their taxes or go to a tax preparer or accountant until June

For now, visiting an accountant or tax preparer can be onerous. However, when I used a tax attorney we did everything by mail or phone. So it can be done. Electronic preparation, like Turbo Tax, should not be an issue.

The important thing is that when you submit your return you can pay later, like at the due date. I do that.

You can also complete your federal return and use that to build your state return. You can then submit the state return should it be due before the federal return. Again. no need to pay until the due date. Federal and state need not be submitted at the same time.

I now use Turbo Tax to do my taxes. I electronically submit the federal return and after it is accepted I then submit the state return. Federal acceptance is really fast, three to four hours.


Thanks,

I was not even thinking about the virus stopping someone from going out to get taxes done. I was just thinking about normal procrastination. Some people wait until the last minute to get things done.  So when they hear that tax returns aren't due until July 15th they don't even think about the State returns still being due April 15th. 

Frankly in my case my tax returns were done by my accountant early this month. As usual I put them away and would have mailed them in with my payment on April 15th. When I heard that the deadline was extended to July 15th in my head I planned to leave everything to that date. Until I read this thread I did not even think about the State returns still being due on April 15th.


nj has extended the filing deadline to 7/15 no details yet on payments etc



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