IRS Sends Special Notice To Taxpayers In Eight States

The Internal Revenue Service (IRS) has sent out a special mailing to taxpayers in disaster-affected areas, letting them know they have more time to pay their taxes.

irs sends special notice to taxpayers in eight states

The IRS said in a statement Thursday that the special mailing was being sent out to California and seven other states as a follow-up clarification after an earlier message wrongly told them they had 21 days to pay.

“Although the initial notice indicated a payment deadline of 21 days, taxpayers in these disaster-declared regions actually have until a later date this year to make their payments within the designated timeframe,” the agency stated.

Taxpayers with balances due who live in parts of Alabama, Arkansas, California, Florida, Georgia, Indiana, Mississippi, and Tennessee that fell under disaster declarations received a CP14 notice from the IRS in late May and June.

Many of the CP14 notices incorrectly said the affected taxpayers had three weeks to pay outstanding balances.

“We know our initial mailing caused confusion for taxpayers and tax professionals, and we worked quickly to send a follow-up reminder to help reassure people,” IRS Commissioner Danny Werfel said in a statement.

“This mailing reflects how we’re trying to be more taxpayer-focused given the additional resources that we’ve been given under the Inflation Reduction Act.”

The new mailing, called CP14CL, will be sent out within the next several weeks, the agency said.

The earlier CP14 notices also included a special insert that features the correct payment deadline, which was extended under special tax relief to taxpayers in federally declared disaster zones.

The IRS has also updated these inserts, which will accompany upcoming CP14 balances-due notices so as to make it clear that the letter does not apply to people covered by disaster declarations.

Disaster-Related Deadline Extensions

Earlier this year, taxpayers in federally declared disaster regions—like ones hit by deadly winter storms—were granted tax relief by the IRS in the form of an extension on their deadlines to file their tax returns and pay amounts due.

irs sends special notice to taxpayers in eight states
A vehicle is partially covered in snow, in the San Gabriel Mountains in San Bernardino County near Los Angeles County, in Mount Baldy, Calif., on Feb. 24, 2023. (Mario Tama/Getty Images)

The IRS issued notices granting such relief to taxpayers affected by severe weather in parts of Alabama, California, Florida, Georgia, Indiana, New York, and Tennessee. The deadline extensions varied across different disaster areas, with relevant parts of Florida, for example, getting an extension until Aug. 15, while Tennessee storm victims had theirs extended until July 31.

Read more here...

Authored by Tom Ozimek via The Epoch Times July 1st 2023