Hurricane Milton caused widespread damage across Florida. In fact, the eye of Hurricane Milton passed right through Sarasota. In response to the damage and disruption that Milton [1] —and Helene [2] , and Debby [3] —left in their wake, the IRS has introduced tax relief to help individuals and businesses recover. [4]
Over three quarters of the counties in Florida have been affected by recent hurricanes: 51 of the 67 counties in the state. For those residents and business owners in any of these areas, this relief means you now have until May 1, 2025, to file certain tax returns and make tax payments. In other words, if you reside in or have a business in any of the counties listed below, and you were affected by at least one of the storms, then you probably qualify for tax relief.
This extension covers both personal and business tax filings for 2023 and 2024, covering people ranging from small business owners and retirees to local investors who have struggled with disruptions due to the storm. We hope this reprieve offers breathing room to help you address your recovery needs, and that’s why we wanted to share this information with you now.
IRS Relief Overview
The relief provided by the IRS extends the deadline for filing federal tax returns and making tax payments. Keep in mind that even for those who had already filed for an extension, any taxes, penalties, or other fees would still have been due since the original IRS tax deadline for the 2023 tax year of April 15, 2024. If you missed payroll and excise tax deposits, penalties may be waived, provided you catch up on these payments by the new May 1 deadline.
Note that the IRS may automatically identify taxpayers located in the disaster area, but it’s always a good idea to confirm your eligibility with a tax professional.
Benefits for Florida Residents
The extended deadline means less immediate pressure, allowing you to focus on important priorities like rebuilding homes and restoring businesses. In these days when financial recovery is crucial, the ability to delay tax filings provides much-needed extra time to act. By alleviating this burden, Florida residents can rebuild, replace lost property, and ensure they’re back on stable footing without worrying about immediate tax obligations.
Important Considerations
While the May 1 deadline offers a bit of a reprieve, it’s essential to stay aware of key dates and the relief’s limitations. Businesses need to note that payroll and excise taxes will only receive penalty relief if corrected by the extended deadline. Staying informed and consulting a tax professional is the best way to ensure you meet all necessary requirements without penalty. If you work with a financial advisor, that’s even better. They will be able to assess how the effects of the storm might require adjusting your retirement planning and other financial planning goals.
Steps to Take
Affected Florida residents and business owners should consider the following steps:
- Consult with a tax professional to ensure that all eligible taxes are included under the relief provisions.
- Review financial plans and adjust them to fit the extended deadlines and any disaster-related expenses. If possible, consult with your financial advisor sooner than later.
- Document any hurricane-related damage or disruption to support potential deductions or credits.
- Begin planning for the May 1 deadline now, even if it feels far off. This way, you’ll be prepared to file when the time comes.
The Takeaway
The IRS’s tax relief following Hurricanes Milton, Helene, and Debby gives Florida residents the time and flexibility they need to rebuild and recover. By extending the filing and payment deadlines to May 1, 2025, the IRS is helping families and businesses get back on their feet. However, it’s important to stay organized and plan ahead. Be sure to consult with your financial advisor and tax professional to that ensure you’re making the most of this opportunity and avoiding any penalties down the road.
Florida Counties Covered by This Extension:
Alachua, Baker, Bradford, Brevard, Broward, Charlotte, Citrus, Clay, Collier, Columbia, DeSoto, Dixie, Duval, Flagler, Gilchrist, Glades, Hamilton, Hardee, Hendry, Hernando, Highlands, Hillsborough, Indian River, Lafayette, Lake, Lee, Levy, Madison, Manatee, Marion, Martin, Miami-Dade, Monroe, Nassau, Okeechobee, Orange, Osceola, Palm Beach, Pasco, Pinellas, Polk, Putman, Sarasota, Seminole, St. Johns, St. Lucie, Sumter, Suwannee, Taylor, Union, Volusia
Sources:
1 Hurricane Milton: https://www.fema.gov/disaster/4834
2 Hurricane Helene: https://www.fema.gov/disaster/4828
3 Hurricane Debby: https://www.fema.gov/disaster/4806
4 https://www.irs.gov/newsroom/irs-provides-hurricane-milton-relief-may-1-deadline-now-applies-to-individuals-and-businesses-in-all-of-florida-many-businesses-qualify-for-deposit-penalty-relief
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