Thu, Apr 9, 2020

COVID-19 State and Local Tax - Sales and Use Tax Guidance

States New Filing Deadline New Payment Deadline Industry Specific Comments Source (Weblink)
Alabama No Extension on report filing 6/1/2020 - Small Businesses
7/15/2020 - FEIT
Small Businesses and Banks Small businesses whose monthly retail sales during the previous calendar year averaged $62,500 or less may file their monthly sales tax returns for the February, March, and April 2020 reporting periods without paying the state sales tax reported as due. Late payment penalties will be waived for these taxpayers through June 1, 2020. This does not apply to local sales tax liabilities.

For an Affected Taxpayer, the due date for filing Financial Insitution Excise Tax (FEIT) returns and making FIET payments due April 15, 2020, is automatically postponed to July 15, 2020. There is no limitation on the amount of the payment that may be postponed.

No extension is provided in this Order for the payment or deposit of any other type of state tax, or for the filing of any other state information return.
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Alaska 7/15/2020 7/15/2020 Applies to all Taxpayers, except Oil and Gas Production taxes Penalties and interest will not be assessed if returns and payments are received on or before July 15, 2020. Link
California 7/31/2020 for businesses filing less than $1 million in tax 7/31/2020 for businesses filing less than $1 million in tax Small Businesses As of April 2, 2020, taxpayers with less than $5 million in annual taxable sales can take advantage of a 12-month, interest free payment plan up to $50,000 in sales & use tax liability. This would be paid back in 12 equal monthly installments.

Providing a three-month extension for a tax return or payment to any businesses filing a return for less than $1 million in tax. For the approximate 99.5% of business taxpayers below the $1 million threshold for their current California sales and use tax obligation, returns for the 1st quarter 2020 will now be due on July 31, 2020.
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Colorado 5/20/2020 5/20/2020 Applies to all Taxpayers Includes State and State-Administered local sales tax only. This does not apply to self collecting home rule taxing jurisdictions. Link
Connecticut 5/31/2020 5/31/2020 Small Businesses Taxpayers that paid less than $150,000 in tax during calendar year 2019 can take advantage of the extension. Link
District of Columbia No Extension on report filing 7/20/2020 Applies to all Taxpayers except hotels & motels OTR will automatically waive interest and late payment penalties of sales and use taxes for all businesses (except hotels and motels) for periods ending on February 29, 2020 and March 31, 2020 provided that payment of all taxes due for these periods are paid in full by July 20, 2020. Link
Florida 4/30/2020 4/30/2020 Applies to Taxpayers "adversely affected" by the COVID-19 outbreak For taxpayers adversely affected by COVID-19, taxes collected during March 2020 will be extended from April 20 to April 30. Adversely affected is defined as: a business that closed in March 2020 as result of state or local order in response to COVID-19, or experienced sales tax collections in March 2020 that are less than 75% of March 2019 collections; or business was established after March 2019 , or registered with the Dept to file quarterly. Link
Illinois 1/4- 5/20/2020
1/4 -6/22/2020
1/4 - 7/20/2020
1/4 -8/20/2020
1/4- 5/20/2020
1/4 -6/22/2020
1/4 - 7/20/2020
1/4 -8/20/2020
Taxpayers operating eating and drinking establishments that incurred a total sales tax liability of less than $75,000 in calendar year 2019 are eligible for relief from penalties and interest on late sales tax payments. The Illinois Department of Revenue issued the following informational bulletin: In an effort to assist eating and drinking establishments affected by the COVID-19 outbreak, effective immediately, the Illinois Department of Revenue (IDOR) is waiving any penalty and interest that would have been imposed on late sales tax payments from qualified taxpayers. Qualified taxpayers will not be charged penalties or interest on late payments for sales tax liabilities reported on Form ST-1, Sales and Use Tax and E911 Surcharge Return, that are due for the February, March and April 2020 reporting periods. What must qualified taxpayers do to request relief? For most qualified taxpayers, IDOR will automatically waive penalties and interest. If you receive a notice from IDOR that imposes penalties and interest that you believe should have qualified for a waiver, you can respond to the notice to indicate that you believe you should have qualified for relief. IDOR will review the response and grant relief, if appropriate.
Louisiana 5/20/2020 5/20/2020 Applies to all Taxpayers The state will waive penalties and interest as long as the returns and payments are received by May 20, 2020. All returns and payments must be submitted via LaTAP or by paper filing. Link
Maryland 7/15/2020 7/15/2020 Applies to all Taxpayers The Comptroller is extending the time to file sales and use tax returns for
sales taking place in February, March, April, May, and June. Sales and use tax
returns, and their accompanying payments, may be submitted by July 15, 2020 without
incurring interest or penalties.
Massachusetts 6/20/2020 6/20/2020 Qualifying taxpayers are those with cumulative sales and use tax liability in the 12-month period ending February 29,2020 that is less than $150,000. For vendors with cumulative liability for sales and use tax, including local option, under $150,000 in the 12–month period ending February 29, 2020 (i.e., for tax collected through January 31, 2020), due dates for the filing of returns and making payments for sales, use, and meals taxes for February, March and April returns have been extended to June 20, 2020. Link
Michigan 5/20/2020 5/20/2020 Applies to all Taxpayers In recognition of the continued disruption of
businesses required to file returns and remit sales, use, and withholding taxes, the Department of Treasury
is waiving penalty and interest for the late payment of tax or the late filing of any monthly or quarterly
return due on April 20, 2020. The waiver will be effective for a period of 30 days; therefore, any monthly
or quarterly payment or return currently due on April 20, 2020 may be submitted to the Department without
penalty or interest through May 20, 2020.

This waiver applies to the 2020 first quarter return that is required to be filed with the Department on April
20, 2020. Taxpayers required to remit tax with the 2020 first quarter return may therefore submit the
payment and return to the Department without penalty or interest through May 20, 2020.
Minnesota No Extension on report filing 5/20/2020 Bars, restaurants, and other places of public accommodation The state provides a 30 day grace period for sales & use tax for abatement of penalty and interest for taxes due on April 20, 2020, will have until May 20, 2020 to make payment. Identified businesses can request waiver after that period. Identified businesses can be identified: . Link
Mississippi No Extension on report filing No Extension of tax payment, but penalty and interest waived. Applies to all Taxpayers Penalties and interest waived through presidentially declared national emergency. However the returns must be filed on time. Link
New York 5/20/2020 5/20/2020 Applies to all Taxpayers except Vendors that are required to file returns on a monthly basis and participants in the promptax program for sales & use tax or prepaid sales tax on fuel No penalty and interest on the quarterly March 20th return and payment, but the tax payer must request relief by completing and application at . Link
North Carolina 7/15/2020 7/15/2020 Applies to all Taxpayers No penalty and interest for returns filed and paid between March 15th and July 15th. Extension is automatic. Link
Pennsylvania No Extension on report filing The AST payment due in April, May or June is waived. Tax liability collected must be paid by deadline. Applies to all Taxpayers Businesses that collect Pennsylvania sales tax will not have to make Accelerated Sales Tax (AST) prepayments in April, May or June, the Department of Revenue has announced. That means businesses that normally have a monthly prepayment requirement will not be charged penalties for missing the prepayment deadline during this three-month period.

Under this new scenario, the department is asking businesses to simply remit the sales tax that they collected during the prior month. The due dates to remit sales tax will be April 20, May 20 and June 22, which follows the standard due dates for monthly filers who have no prepayment requirement.
Puerto Rico 5/20/2020 5/20/2020 Applies to all Taxpayers Sales and Use Tax Monthly Return, Form Form SC 2915, (“IVU Monthly Return”) - the deadline for filing this return and the corresponding payment, for the periods of March, April and May 2020 will be the following: (i) March to May 20, 2020; (ii) April until June 22, 2020 and (iii) May until July 20, 2020. Link
Rhode Island No Extension on report filing No Extension of tax payment Applies to all Taxpayers The state would like to remind taxpayers of their right to request that penalties be abated where there was no negligence or intentional disregard of the law. Link
South Carolina 6/1/2020 6/1/2020 Applies to all Taxpayers Extension is automatic until June 1st, no additional action is needed. Link
Texas No Extension on report filing Options available Applies to all Taxpayers The state will assist taxpayers with payment options and the ability to waive late fees and interest if contacted directly. Link
Vermont No Extension on report filing No Extension of tax payment, but penalty and interest waived. Applies to all Taxpayers The state will not charge penalty or interest for taxpayers that do not file their March 25th and April 25th sales tax returns. Link
Virginia 4/20/2020 4/20/2020 Applies to all Taxpayers The state will waive late penalties for sale tax returns due on March 20th if filed and paid on April 20, 2020. However, interest will accrue even if an extension is granted. Link
Washington State requests that businesses file by the regular deadline Monthly filers-call 360-705-6705 to request an extension, Quarterly- due 6/30/2020, Annual filers- due 6/15/2020 Applies to all Taxpayers The Department will waive interest until the termination of the COVID-19 State of Emergency or May 4, 2020, whichever occurs first. After this date, interest will begin accruing on outstanding balances.

Please note, tax returns filed and paid by the extended due date are considered timely, and will not incur interest.
Wisconsin 5/11/2020 5/11/2020 Applies to all Taxpayers Sales and Use Tax returns and payments that are due from March 12 through May 11 may be extended to May 11 Link

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