On March 20th, the Internal Revenue Service (IRS) announced that it will provide late payment penalty relief to individuals and businesses requesting a filing extension. Due to the late passage of the American Taxpayer Relief Act, many forms were delayed and couldn’t be filed until February or March. Therefore, the relief applies to the late-payment penalty charged on tax payments made after the regular filing deadlines, including those forms delayed until February or March.
Many taxpayers claiming depreciation deductions and a variety of business credits qualify for this relief. In order to receive this relief, an individual or business must properly request an extension to file their 2012 returns. However, they still must pay the estimated expected tax liability amount by the original due date of the return.
For a complete list of eligible forms and specific instructions on requesting an extension, please visit IRS.gov.