Filing Relief for Natural Disasters Act
Filing Relief for Natural Disasters Act
Plain Language Summary
# Filing Relief for Natural Disasters Act (HR 517) Summary **What It Does:** This law allows the IRS to delay federal tax deadlines for people and businesses affected by natural disasters. Previously, the IRS could only grant these extensions for federally declared disasters. Now, state governors can request deadline extensions for their residents affected by state-declared disasters by submitting a written request to the IRS. The law also expands automatic tax deadline extensions for certain affected taxpayers. Eligible extensions can apply to filing taxes, paying taxes, making retirement contributions, and other tax-related deadlines. **Who It Affects:** The law benefits taxpayers in any U.S.
state, the District of Columbia, and U.S. territories (Puerto Rico, U.S. Virgin Islands, Guam, American Samoa, and the Northern Mariana Islands) who are impacted by natural disasters. This includes individuals and businesses trying to recover from events like hurricanes, floods, wildfires, and other qualifying disasters. **Current Status:** The bill has been signed into law, meaning it is now in effect. Governors can now use this mechanism to help their constituents get tax relief during disaster recovery without waiting for federal disaster declarations.
CRS Official Summary
Filing Relief for Natural Disasters ActThis bill authorizes the Internal Revenue Service (IRS) to postpone federal tax deadlines for taxpayers affected by a qualified state declared disaster, upon written request by the state governor. The bill also increases the automatic extension of federal tax deadlines for certain taxpayers.Under current law, the IRS may postpone federal tax deadlines for taxpayers affected by a federally declared disaster, including (but not limited to) deadlines for (1) filing federal tax returns, (2) paying federal taxes, (3) making retirement plan contributions, and (4) tax assessments and collections.The bill authorizes the IRS to postpone such federal tax deadlines for taxpayers affected by a qualified state declared disaster upon written request by the state’s governor (or the District of Columbia mayor). Under the bill, a state includes the District of Columbia, Puerto Rico, the U.S. Virgin Islands, Guam, American Samoa, and the Northern Mariana Islands.The bill defines qualified state declared disaster as any natural catastrophe, fire, flood, or explosion that causes damage of sufficient severity and magnitude to warrant a request to postpone such federal tax deadlines.Further, under current law, an automatic 60-day extension of such federal tax deadlines applies to certain relief workers, individuals killed or injured as a result of a federally declared disaster, and taxpayers whose principal residence, business, or tax records are located in a federally declared disaster area.The bill increases to 120 days the automatic extension of federal tax deadlines for these taxpayers.
Latest Action
Became Public Law No: 119-29.