March 19, 2021
Earlier this week the IRS announced a 32-day extension to the federal individual tax filing deadline from April 15th to May 17th. The change was made to give the agency extra time needed to manage 2020 tax year changes outlined in the American Rescue Plan Act of 2021. The demands of sending out the economic stimulus payments and managing the change to the taxation of 2020 unemployment benefits, the IRS had little choice but to make the announcement. However, the extension meant federal taxes were due in May and state in April creating confusion for taxpayers. The Georgia Department of Revenue (GDOR) announced yesterday the state will also be extending the 2020 individual tax filing deadline from April 15, 2021, to May 17, 2021. To help clients, prospects, and others, Wilson Lewis has provided a summary of the key details below.
Extension Details
Since state income tax liability is determined by federal return information taxpayers would have been required to complete the federal return prior to submitting the state return. Such a mismatch creates significant challenges for the state. To resolve the potential issue, the GDOR has extended the individual filing deadline to match the recent IRS announcement. It is important to note the extension is automatic, so it is not necessary to contact the GDOR to qualify.
The deadline extension does not apply to state estimated tax payments which are due on April 15th. In addition, there has been no extension for the filing, payment, or deposit of any other type of state taxes including sales, franchise, and use taxes. Finally, the extension does not apply to any state information returns which may need to be filed.
Contact Us
The additional time to file individual returns should only be taken if needed. The GDOR encourages Atlanta individuals who are prepared to file to do so especially if a refund is due. If you have questions about the extended state filing deadline or need assistance with another tax or accounting issue, Wilson Lewis can help. For additional information call us at 770-476-1004 or click here to contact us. We look forward to speaking with you soon.