Tax deadlines for Hurricane Ida victims delayed until early January, IRS says

Hurricane Ida victims eligible for IRS tax relief

The Internal Revenue Service on Tuesday said that victims of Hurricane Ida, including all Louisiana residents, have until Jan. 3, 2022 to file individual and business tax returns and make payments due after Aug. 26. 

The relief applies to individuals and businesses in any area designated by the Federal Emergency Management Agency as qualifying for public assistance related to the hurricane. That currently includes all of Louisiana, as well as parts of Texas, Alabama and Mississippi. 

"During this difficult time, the IRS stands ready to help victims of Hurricane Ida," IRS Commissioner Chuck Rettig said in a statement. "We want people affected by this devastating hurricane focused on their safety and recovery for themselves and their families." 

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The relief means that any tax filing and payment deadlines that occurred starting on Aug. 26 are now postponed. Any individual who received extensions to file 2020 taxes on Oct. 15 will receive three additional months, until Jan. 3, the IRS said.

Still, because any owed taxes still needed to be paid by May 17 regardless of whether an individual filed an extension, those payments are not eligible for this relief. 

Other qualifying payments include the quarterly estimated income tax payments due on Sept. 15, as well as the quarterly payroll and excise tax returns normally due on Nov. 1. Penalties on payroll and excise tax deposits due after Aug. 26 – and before Sept. 10 – will be abated as long as the payments are made by Sept. 10, the IRS said.

The relief also applies to tax-exempt organizations that operate on a calendar-year basis.

Qualifying individuals and businesses with an IRS address located in the disaster area will automatically receive the filing and penalty relief and do not need to contact the agency. 

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However, if an affected taxpayer receives a late filing or late payment penalty notice from the IRS that has an incorrect extended filing, payment or deposit due date, they should contact the IRS 866-562-5227 in order to address the matter. 

Any taxpayer who qualifies for relief but who lives outside the disaster zone – including workers assisting the relief activities who are affiliated with a recognized government or philanthropic organization --  should also contact the IRS at the above number.

Ida, one of the most powerful hurricanes to ever hit the U.S. mainland, made its landfall this weekend, ravaging the Louisiana coast, leaving more than 1 million homes and businesses without power. The storm degraded to a tropical depression Monday afternoon as it made its way inland. 

The full extent of the damage from the storm is still unknown.