Emergency IRS Tax Relief: deadline, requirements & eligibility of Hurricane Fiona victims
The IRS has a number of plans aimed at making sure those affected by hurricanes still have time to file their taxes.
Hurricane season is well and truly here. Hurricane Fiona made landfall in Puerto Rico last week, decimating the infrastructure leaving the entire island without electricity.
President Joe Biden recently announced that the federal government would be footing the bill for the Caribbean island’s recovery for the next month. This includes covering the cost of debris removal, power and water restoration and food. Usually the federal government pays 75 percent of emergency costs but the poor state of Puerto Rico’s finances mean there is a belief it will not be able to recover on its own.
“We’re laser focused on what’s happening to the people of Puerto Rico,” Biden said.
The IRS has also announced some measures for those affected by the hurricane. It has extended the period people on Puerto Rico can submit their tax returns. Not exactly what many Puerto Ricans feel they will need right now but some help nonetheless.
What is the relief plan?
The declaration allows the IRS to postpone certain tax-filing and tax-payment deadlines for taxpayers who reside or have a business in Puerto Rico. The IRS gives the example of certain deadlines falling on or after September 17, 2022, and before February 15, 2023 now being postponed until February 15, 2023.
Inidividual filers who already had a filing extension now have another extension to the same day of February 15, 2023.
People who have suffered economic losses because of the hurricane can also claim some of this money back as disaster relief when they file their taxes.
What are the requirements?
At present the IRS is only issues to the time lengthening for people living in Puerto Rico. It applies to people in all 78 municipalities on the islands.