The Internal Revenue Service should develop a plan for the next phase of tax relief, according to the American Institute of CPAs. The AICPA outlined suggested issues in a March 26 letter to the IRS.The IRS extended the due day for first-quarter individual and corporate estimates from April 15 through July 15. However, the AICPA letter noted the second quarter deadline is still set for June 15.
.”Our members are already concerned that a July 15th deferral may be insufficient given the unpredictable spread of COVID-19 and related closures and stay-at-home orders,” wrote Edward Karl, the AICPA’s VP of taxation.
The AICPA wants the IRS to waive the requirement for manual signatures, The letter notes that the IRS has announced it would temporarily accept digital signatures on certain documents to protect its. employees. But the AICPA said there are questions whether that applies to commonly used forms, such as Form 8879.
The organization asked the IRS to provide extensions for returns due between March 3 and July, such as for certain estate, exempt organizations and other businesses, and calls for additional time for filing to be applied for additional forms and elections, such as the election to be taxed as a small business, It also asks for extensions for U.S. citizens living abroad or non-resident taxpayers who can’t leave.
The AICPA wants “generous and automatic relief for other tax returns, information returns, elections, correspondence and payments not already covered by previous relief but related to COVID-19.”
