March 20, 2020

COVID-19 Government Relations Daily Summary


GOVERNMENT RELATIONS COVID-19 SUMMARY
The following are updates on information that may impact your practice areas. ICPAS Government Relations will continue to keep you updated on developments as they occur.

IRS-Coronavirus Tax Relief Website
The Internal Revenue Service has established a dedicated website to provide taxpayers with tax information related to the coronavirus. 

IDOR-COVID-19 Information for Illinois Taxpayers
The Illinois Department of Revenue has established a dedicated website to provide taxpayers with tax information related to the coronavirus.

Treasury Secretary Announced Extension of April 15th Tax Filing Deadline
Treasury Secretary Mnuchin announced this morning that the April 15th deadline for filing tax returns has been postponed until July 15th.  No official pronouncements have been posted at this time, but specific guidance will be posted here.

Treasury’s Tax Extension Impacts Illinois Tax Filing Deadlines
Section 505(b) of the Illinois Income Tax Act provides that when a taxpayer has been granted an extension or extensions of time within which to file his federal income tax return for any taxable year, the filing of such extension shall automatically extend the due date of the state return for an equivalent period (plus an additional month beyond the federal extension in the case of corporations—if the requirements of Sect 602 are met).  No official pronouncements have been posted at this time, but specific guidance will be posted here.

The Act provides that state corporate tax returns are due on or before the 15th day of the third month following the close of the taxable year unless, subject to the provisions of Sect. 602, the director grants an extension or extensions of time not to exceed 6 months in the aggregate.  There are some exceptions addressing income loss reported on the federal return.  

IDOR Waives Penalties and Interest on Late Sales Tax Payment
The Illinois Department of Revenue issued IDOR Informational Bulletin FY 2020-23 announcing the waiver of penalties and interest that would have been imposed on the late sales tax payments from qualified taxpayers. The Informational Bulletin outlines the short-term relief and taxpayers that would qualify.  

City of Chicago Extends Tax Payments
On Thursday, Mayor Lightfoot announced that the City of Chicago is extending the due dates for tax payments of specified taxes until April 30th.  The specified taxes are:
Bottled Water Tax, Checkout Bag Tax, Amusement Tax, Hotel Accommodation Tax, Restaurant Tax, and Parking Tax.

SBA Approves Illinois’ Application for Economic Injury Disaster Loan
As reference in ICPAS Government Relations COVID-19 (01) update, the Small Business Administration has approved the State of Illinois’ request for small business economic injury disaster loans due to COVID-19.  Illinois small businesses and private non-profits with substantial economic injury related to COVID-19 can apply for loans of up to $2M.  See disaster loan information. Business owners can apply for a loan with SBA.
See ICPAS Government Relations Digital Library
 of COVID-19 Regulatory Updates.