Three states in the Northeast – Connecticut, Maryland, and Massachusetts – are among the first states to formally announce tax relief as a result of the coronavirus (COVID-19) pandemic.
Connecticut
The filing deadlines for certain Connecticut business tax returns have been extended a minimum of 30 days, with the payment deadlines extended until June. The impacted tax returns’ extended filing and payment deadlines are as follows:
- Form CT-1065/CT-1120 SI Connecticut Pass-Though Entity Tax Return
- Filing date extended to April 15, 2020
- Payment deadline extended to June 15, 2020
- Form CT-990T Connecticut Unrelated Business Income Tax Return
- Filing date extended to June 15, 2020
- Payment deadline extended to June 15, 2020
- Form CT-1120 and CT-1120CU Connecticut Corporation Business Return
- Filing date extended to June 15, 2020
- Payment deadline extended to June 15, 2020
Although Connecticut has not enacted any state-specific tax relief for individuals, it has announced that it will adjust due dates for filing and payment of state income taxes to align with any specific, actionable announcement from the Internal Revenue Service.
Maryland
The filing deadlines for certain Maryland business returns with due dates during the months of March, April, and May 2020 have been extended until June 1, 2020. Business taxpayers who file and pay by the extended due date will receive a waiver of interest and penalties. The Maryland business returns covered by this tax relief include:
- Sales and use tax
- Withholding tax
- Admission and amusement tax
- Alcohol, tobacco, and motor fuel excise taxes
- Tire recycling fee
- Bay restoration fee
If the Internal Revenue Service extends its April 15, 2020 filing deadline for corporate and individual income tax returns, Maryland will conform to the IRS’s extended deadlines.
Massachusetts
Although no specific extended deadlines have been announced, Massachusetts has indicated that it will work with taxpayers impacted by COVID-19 to waive penalties associated with late payment of their tax obligations. Massachusetts plans on offering similar tax relief to that issued by the Internal Revenue Service.
Please feel free to contact your WG advisor if you have any questions or concerns regarding how your tax situation may be affected by COVID-19.
