Tax News

CCH (cch.taxgroup.com) reports:

  Storm and flood victims in 10 states have been granted more time to make quarterly estimated tax payments normally due on June 16, 2008. These states include Iowa, Indiana and Wisconsin, Arkansas, Colorado, Georgia, Maine, Mississippi, Missouri and Oklahoma. Businesses will also have extra time to file various returns and pay any taxes due. Specific due dates vary by location. Details are available on the IRS's webpage at irs.gov. Also, affected taxpayers in these areas who suffered uninsured or unreimbursed property damage can choose to claim these losses on their 2007 tax returns.

Indiana and Iowa

  The IRS has also updated its tax relief Notices for Indiana (TAXDAY, 2008/06/16, I.7) and Iowa (TAXDAY, 2008/06/04, I.1) storm, flood and tornado victims. More counties have been added to the areas considered covered disaster areas for purposes of
Reg. §301.7508A-1(d)(2) and, thus, eligible for tax relief.

Wisconsin

  Victims of recent severe storms, tornadoes and flooding in Wisconsin may qualify for tax relief from the IRS. Following severe storms and tornadoes on June 5, the federal government declared Crawford, Columbia, Sauk, Milwaukee and Vernon counties presidential disaster areas qualifying for individual assistance. As a result, the IRS is postponing until August 13 certain deadlines for taxpayers who reside or have a business in the disaster area. The postponement applies to return filing, tax payment and certain other time-sensitive acts otherwise due between June 5 and August 13. In addition, the IRS will waive the failure to deposit penalties for employment and excise deposits due on or after June 5 and on or before June 20, as long as the deposits were made by June 20.

  Affected taxpayers claiming the disaster loss on last year's return should put the designation "Wisconsin/Severe Storms, Tornadoes and Flooding" at the top of the form so that the IRS can expedite the processing of casualty refunds.

Iowa Disaster Relief, 2008FED ¶46,454

Indiana Disaster Notice, 2008FED ¶46,469

IR-2008-78,
2008FED ¶46,471

Wisconsin Disaster Notice, 2008FED ¶46,472

Other References:

 
Code Sec. 6081

  CCH Reference - 2008FED ¶36,789.213

 
Code Sec. 7508A

  CCH Reference - 2008FED ¶42,687C.22

  Tax Research Consultant

  CCH Reference - TRC FILEBUS: 15,110
CCH Reference - TRC FILEIND: 15,204.25