Gift Tax Returns and Payments Extended

The IRS just announced new guidance in Notice 2020-20 stating that the due date for filing Forms 709 (United States Gift and Generation-Skipping Transfer Tax Return) and making payments of Federal gift and generation-skipping transfer tax is automatically postponed to July 15, 2020. These returns would have been due on tax due April 15, 2020. This relief is automatic and there is no need to file Form 8892 (Application for Automatic Extension of Time to File Form 709 and/or Payment of Gift/Generation-Skipping Transfer Tax). If additional time is needed to file a gift tax return after the July 15, 2020 due date, an extension can be filed to extend the due date to October 15, 2020. Any gift tax payments will be due on July 15, 2020. Any payments not received by this date will begin to accrue interest and penalties.

This announcement comes just days after the Department of the Treasury and the IRS announced the due date for both filing Federal Income Tax Returns and making certain Federal Income Tax Payments was postponed from April 15, 2020 until July 15, 2020.

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About the Author(s)
Sarah Nicole Gaymon, CPA is a Senior Manager in the Tax Advisory Group at HBK CPAs & Consultants located in the West Palm Beach office, specializing in trusts and estates. Sarah’s background includes tax compliance and tax consulting for high net worth individuals, family groups, trusts, estates, and gift tax issues. Sarah aids her clients in the year-end planning process as well as assisting with family wealth, succession and estate planning.
Hill, Barth & King LLC has prepared this material for informational purposes only. Any tax advice contained in this communication (including any attachments) is not intended or written to be used, and cannot be used, for the purpose of (i) avoiding penalties under the Internal Revenue Code or under any state or local tax law or (ii) promoting, marketing or recommending to another party any transaction or matter addressed herein. Please do not hesitate to contact us if you have any questions regarding the matter.

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