On the day following the horrible events in Boston on April 15, the Internal Revenue Service announced that it would provide a three month extension for taxpayers affected by the explosions to file and pay their federal taxes.
While the extension automatically applies to taxpayers who live in Suffolk County, Massachusetts, it also applies to victims, their families and first responders who live elsewhere. The extension also applies to taxpayers whose tax return preparers were adversely affected.
During the extension period, no filing or payment penalties will apply. However, interest will still apply to any payments made after the April 15 deadline. Interest will be charged at three percent, compounded daily.
Eligible taxpayers living outside of Suffolk County can claim the extension by calling the IRS at 1-866-562-5227 beginning on April 23. Eligible taxpayers who receive tax penalty notices can also call this number to have those penalties abated.
Within the next week, it is expected that the IRS will issue a notice clarifying the application of the extension and the determination of who will be eligible.