In response to the hardships created by COVID-19, the U.S. Internal Revenue Service postponed the deadline for individuals and businesses to file and pay their federal income taxes for 2019. The new deadline is July 15, 2020. This change is automatic and you do not need to file any additional forms or call the I.R.S. to qualify.
If you expect a federal tax refund, however, the I.R.S. urges you to consider filing your taxes early so that they can process your refund payment as soon as possible.
This relief only applies to federal income returns and tax payments (including tax on self-employment income), not state tax payments or other types of federal tax. Depending on where you live, you may also need to file income tax returns in your state or the District of Columbia. State deadlines vary and are not always the same as the federal filing deadline.
For more information on this relief, please read the I.R.S.’s 3/21/2020 statement.
Tax credits for sick leave and family leave | The U.S. Congress recently enacted the Families First Coronavirus Response Act as one of several relief measures to help taxpayers and companies struggling in response to the coronavirus. This law provides relief in the form of refundable tax credits for sick leave and family leave for self-employed individuals affected by the coronavirus, such as those who must self-isolate, obtain a diagnosis, or comply with self-isolation recommendations.
Self-employed individuals may be eligible for a refundable tax credit equivalent to a sick leave amount, which is generally calculated based on average daily earnings of up to $511 per day and covers up to 10 days. Self-employed individuals may also be eligible for a smaller refundable tax credit when caring for a family member or for a child whose school has been closed due to the coronavirus. These refundable credits can be claimed by self-employed individuals on their Form 1040 tax returns for the 2020 tax year.
Learn more about these tax credits for self-employed individuals here.
Additional Tax Resources:
Have more tax questions? Sitters on Rover have access to several resources, such as our tax hub. We’ve also partnered with Stride to bring you additional tax content and a webinar addressing frequently asked questions. Finally, sitters can receive a 25% off discount when filing with H&R block.