Oct. 16, 2024
The IRS has extended tax relief to the victims of Hurricanes Helene and Milton in all of Alabama, Florida, Georgia, North Carolina and South Carolina, and parts of Tennessee and Virginia, until May 1, 2025, to file various individual and business tax returns and make tax payments. Taxpayers with disaster-related tax questions can call the agency’s disaster hotline at 866-562-5227. More information can be found here.
Filing and payment deadlines extended. Affected taxpayers will now have until May 1, 2025, to file returns and pay any taxes that were originally due. Tax-year (TY) 2023 tax payments would not eligible for this extension. In addition, May 1 is also the deadline for filing TY 2024 returns and paying any tax due.
Payments generally excluded from gross income. Affected taxpayers can exclude amounts received from a government agency for reasonable and necessary personal, family, living or funeral expenses from their gross income. This includes amounts related to repair or rehabilitation of their home, or for the repair or replacement of its contents.
Special disaster distribution. Additional relief may be available to affected taxpayers who participate in a retirement plan or individual retirement arrangement (IRA). For example, a taxpayer may be eligible to take a special disaster distribution that would not be subject to the additional 10 percent early distribution tax. This allows the taxpayer to spread the income over three years. Taxpayers may also be eligible to make a hardship withdrawal.
Free documentation. Taxpayers can get a free transcript of their returns if their tax records were lost or destroyed, or to apply for disaster assistance. Disaster area taxpayers can also get a free copy of their tax return by filing Form 4506, Request for Copy of Tax Return.
(IRS News Release IR-2024-266, October 14, 2024).
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