Tax relief for earthquake victims in Alaska

Victims of the earthquake that took place on Nov. 30 in Alaska may qualify for federal tax relief, according to the IRS.

President Trump has declared that a major disaster occurred in Alaska. Following the recent disaster declaration for individual assistance issued by the Federal Emergency Management Agency, the IRS announced today that affected taxpayers in certain areas will receive tax relief.

Individuals who live or have a business in the municipality of Anchorage, Kenai Peninsula Borough and Matanuska-Susitna Borough may qualify for this relief, which lets the IRS postpone certain deadlines.

Certain deadlines falling on or after Nov. 30 and before April 30, 2019, are granted extra time to file through April 30. These include 2018 individual income tax returns and payments normally due on April 15, 2019, as well as the quarterly estimated income tax payments due on Jan. 15 and April 15, 2019, and the quarterly payroll and excise tax returns normally due on Jan. 31, 2019.

Penalties on payroll and excise tax deposits due on or after Nov. 30 and before Dec. 17, 2018, will also be abated as long as the deposits were made by Dec. 17, 2018.

If an affected taxpayer receives a late filing or late payment penalty notice from the IRS that has an original or extended filing, payment or deposit due date that falls within the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty.

The IRS automatically identifies taxpayers located in the covered disaster area and applies automatic filing and payment relief. Affected taxpayers who live or have a business located outside the covered disaster area must call the IRS disaster hotline at (866) 562-5227 to request relief.


Jeff Stimpson