Individuals and businesses in parts of Tennessee affected by severe storms and tornadoes that began earlier this month now have until next June to file various federal individual and business tax returns and make tax payments.
The Internal Revenue Service is offering relief to any area designated a disaster area by the Federal Emergency Management Agency. This includes Davidson, Dickson, Montgomery and Sumner Counties. Individuals and households that reside or have a business in these counties qualify for tax relief. The same relief will be available to any other Tennessee localities added later to the disaster area.
The current list of eligible localities is on the
The relief postpones various filing and payment deadlines that occurred from Dec. 9, 2023, through June 17, 2024. Affected individuals and businesses will have until June 17, 2024, to file returns and pay any taxes that were originally due during this period. This means, for example, that the new deadline will apply to:
- Individual income tax returns and payments due on April 15, 2024. Though a disaster-area taxpayer qualifies to request an extension between April 15 and June 17, a request filed during this period can only be submitted on paper. Whether requested electronically or on paper, the extension will give the taxpayer until Oct. 15, 2024, to file, though payments are due on June 17.
- 2023 contributions to IRAs and health savings accounts for eligible taxpayers.
- Quarterly estimated income tax payments normally due on Jan. 16 and April 15, 2024.
- Quarterly payroll and excise tax returns normally due on Jan. 31 and April 30, 2024.
- Calendar-year partnership and S corp returns normally due on March 15, 2024.
- Calendar-year corporation and fiduciary returns and payments normally due on April 15, 2024.
- Calendar-year tax-exempt organization returns normally due on May 15, 2024.
In addition, penalties for failing to make payroll and excise tax deposits due on or after Dec. 9 and before Dec. 26, 2023, will be abated as long as the deposits are made by Dec. 26.
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The IRS automatically provides filing and penalty relief to any taxpayer with an address of record in the disaster area. An affected taxpayer may not have an address of record located in the disaster area, however, because they moved to the disaster area after filing their return. If such an affected taxpayer receives a late-filing or late-payment penalty notice from the IRS for the postponement period, the taxpayer should call the number on the notice to have the penalty abated.
The IRS will also work with any taxpayer who lives outside the disaster area but whose records necessary to meet a deadline occurring during the postponement period are located in the affected area. Taxpayers qualifying for relief who live outside the disaster area need to call (866) 562-5227. This includes workers assisting the relief activities who are affiliated with a recognized government or philanthropic organization.
Individuals and businesses in a federally declared disaster area who suffered uninsured or unreimbursed disaster-related losses can choose to claim them on either the return for the year the loss occurred or the return for the prior year (2022). Taxpayers have up to six months after the due date of the taxpayer’s federal income tax return for the disaster year (without regard to any extension of time to file) to make the election. They should write the FEMA declaration number — 4751-DR — on any return claiming a loss.
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