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Tax Time 2020: What You Need To Know With COVID-19 Changes

Tax Time 2020: What You Need To Know With COVID-19 Changes
March 30, 2020 Prosperity Connection

ATTN: NEW Tax Deadline is July 15th

Due to the COVID -19 pandemic, the IRS has pushed back the tax deadline from April 15, 2020, to July 15, 2020.

With this new deadline, you may be wondering what you should do. If you are getting a refund, filing now could help give you extra money during this time, or you could save it to help increase or jump-start your emergency (what if) savings. If you owe the IRS,  go ahead and file your taxes and use the extension to your benefit. The extension gives you 90 days to pay back or set up a monthly payment plan with the IRS without being penalized.

If you have any other concerns, you should call the IRS to discuss your options. The IRS offers several payment plans to help taxpayers pay their bills over time. Its short-term plans give you up to 120 days to pay what you owe, while its long-term plans enable you to pay back your bill in installments over many months. You can also make an offer-in-compromise where you tell the IRS what you can pay, and if it agrees, you’re off the hook for the rest of your tax bill.

The July 15 tax extension takes a lot of pressure off of those expecting to owe money to the government. Still, for the millions of Americans waiting for refunds, there’s no benefit to procrastination. Claim your refund today so you can rely upon this cash to support yourself and your family during this difficult time.

Resources:

IRS.gov; CFPB.gov; FTC.gov