NJCPA Calls for Tax Relief for Individuals and Businesses Amid Coronavirus Pandemic

ROSELAND, N.J. – The New Jersey Society of Certified Public Accountants (NJCPA) today called for the New Jersey Department of Treasury and Division of Taxation to provide relief to all New Jersey taxpayers in light of the uncertainty and challenges caused by the spread of the coronavirus (COVID-19) pandemic.

Specifically, we request that Treasury and the Division consider the following recommendations, which will provide extensive relief to thousands of individuals and businesses:

Individuals

• Broad Relief: Extend certain deadlines falling on or after April 15, 2020, and before Oct. 15, 2020, to give individuals additional time to file and make payments through Oct. 15, 2020.
• Automatic Extension: Provide an automatic extension to Oct. 15, 2020.
• Penalties and Interest:
  • Waive late payment penalties if at least 70 percent of an individual’s current tax due is paid by April 15, 2020.
  • Waive interest for underpayment of estimated taxes through Oct. 15, 2020.
• Other Relief:
  • Waive underpayment penalties for 2020 estimated tax payments if paid by Sept. 15, 2020.

Businesses

• Broad Relief: Extend certain deadlines falling on or after April 15, 2020, and before Oct. 15, 2020, to give businesses additional time to file and make payments through Oct. 15, 2020.
• Automatic Extension: Provide an automatic extension.
• Penalties and Interest: Waive late payment penalties and interest through Oct. 15, 2020.
• Other Relief: Provide appropriate relief for all businesses and tax-exempt organizations regarding elections and filings (including payroll, excise tax, etc.).

“We are hearing from our members that they and their clients are experiencing great uncertainty about this year’s tax filing season. Our recommendations will help give taxpayers, large and small, much needed relief in the midst of this fast-moving emergency situation,” said Ralph Albert Thomas, CPA (DC), CGMA. “We continue to closely monitor the coronavirus pandemic and thank Treasury and the Division for their commitment to the welfare of all taxpayers.”

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The New Jersey Society of Certified Public Accountants, with more than 14,000 members, represents the interests of the accounting profession and advances the financial well-being of the people of New Jersey. The NJCPA plays a leadership role in supporting the profession by providing members with educational resources, access to shared knowledge and a continuing effort to create and expand professional opportunities.