IRS Announces Tax Relief for Victims of Hurricane Helene

On October 1, 2024, the IRS announced significant disaster tax relief for individuals and businesses affected by Hurricane Helene. This relief extends to the entire states of Alabama, Georgia, North Carolina, and South Carolina, as well as certain counties in Florida, Tennessee, and Virginia.

Key Highlights of the Relief:

• Extended Filing Deadline: Taxpayers in these disaster areas now have until May 1, 2025, to file their federal tax returns and make payments. This includes 2024 individual and business returns due in March and April 2025, quarterly estimated tax payments, and 2023 returns with valid extensions.

  
  

• Who Qualifies: Anyone residing or owning a business in the FEMA-designated disaster areas qualifies. These areas include the entire states of Alabama, Georgia, North Carolina, South Carolina, and selected counties in Florida, Tennessee, and Virginia.

  
  

• Automatic Relief: The IRS will automatically apply relief to taxpayers with an IRS address of record in the affected areas. There’s no need to contact the IRS for this relief unless your records are located outside the disaster area, or you receive a late payment or filing notice.

  
  

Specific Tax Deadlines Affected:

• 2024 individual and business returns normally due in March and April 2025.

• 2023 individual and corporate returns with valid extensions.

• Quarterly estimated tax payments due January 15 and April 15, 2025.

• Payroll and excise tax returns due October 31, 2024, January 31, 2025, and April 30, 2025.

Additional Tax Relief:

• Uninsured Disaster Losses: Victims of Hurricane Helene who suffered uninsured losses can choose to claim these losses on their 2024 tax returns or amend their 2023 returns.

  
  

• Qualified Disaster Payments: Payments received for reasonable personal or living expenses are generally excluded from gross income.

  
  

• Retirement Plan Relief: Individuals may be eligible for disaster-related distributions from retirement plans, which won’t be subject to the 10% early distribution penalty.

  
  

For more information, visit the IRS Disaster Tax Relief page.

https://www.irs.gov/newsroom/irs-provides-relief-for-helene-various-deadlines-postponed-to-may-1-2025-part-or-all-of-7-states-qualify

If you have any questions about how this relief might impact your tax situation, please don’t hesitate to contact us.