Will Tax Courts offer extended deadlines?

| Apr 27, 2020 | Firm News, Tax Audits

Like many offices throughout the country, the Tax Court has closed its buildings. The move was the result of President Donald Trump’s emergency declaration due to the coronavirus pandemic. During this time, the Tax Court is holding standard mail sent to its offices. However, the office may not except other items resulting in a return to the taxpayer as undeliverable mail.

How will this impact tax issues?

At this time, the Treasury Department and Internal Revenue Service (IRS) have announced they will allow for an extension of deadlines for certain tax issues.

What deadlines did the IRS and Treasury Department extend for tax issues?

The IRS announced an extension to file “time-sensitive” acts like claims for refund and petitions with the Tax Court. The extension applies to those who were required to complete these acts from April 1 through July 14, 2020, and now extends the deadline to July 15, 2020.

What exactly is a “time-sensitive” act for purposes of this extension? The IRS provides the following examples: assessing of a tax, a demand for payment, collection of levies and tax liability lawsuits. Essentially, most petitions filed with the Tax Court will likely qualify for an extension.

Which matters are not?

It is important to note that at this time, the IRS did not include wrongful levy suits or suits for illegal collection actions within the extension.

How should taxpayers handle their tax disputes?

Taxpayers who have sent filings to the Tax Court and had them returned as undeliverable are wise to keep a record of the mailing. Take a picture or save the original envelope with the postage information. Those who are still trying to determine if they have a legal matter and disagree with the results of an audit or notice of deficiency have options. The attorneys at Goldburd McCone can review your options, discuss the impact of the current COVID-19 situation on your timeline and advocate on your behalf.