Sequoia Tax Associates, Inc

Michael Ball at Sequoia Tax Associates, Inc proudly provides IRS tax resolution services, tax preparation, tax planning, accounting, quick books consulting, and bookkeeping in San Jose and all of California. Our clients run businesses ranging from marketing consultants, to office equipment solutions providers, to real estate professionals, to successful martial arts studios. If you are looking for professional and personalized tax services that are tailored to match your specific requirements, please contact us(669) 293-0593 to set up an appointment. I got a call from an old acquaintance/client the other day… A guy I haven’t heard from in many years. He said he heard about the IRS extending the payment and filing deadline this year from April 15, 2020 – to July 15, 2020. Great news! But, what about his 2019 Individual Retirement Account contribution? Is that due date also extended? A good question. Are all things that usually happen on April 15 also covered by the sweeping Federal Emergency Action?? What about our California Tax Returns? For years some of my clients already misunderstood this April 15 tax deadline. There has always been confusion about the fact that a tax extension does NOT give one more time to PAY- it simply allows one more time to FILE the paperwork. However, this year, the IRS is allowing us an extra three months to do both; file the forms and pay the tax dollars! First, let’s look at how the rule works in a regular year: We must pay all the income tax due for last year by April 15! We may file an “Extension of Time to File”, which gives us until October 15 to file the tax forms! California FTB works the same except the 6-month Extension is automatic, which means that you don’t need to send them an Extension form. Also, the CA FTB rules about payments mirror those of the IRS. Now we can get to the good stuff… What are we allowed for 2019 Tax Year?