You My Be Owed A Refund If You Paid IRS Interest Or Penalties From Jan 20, 2020, through July 10, 2023

• • Automatic Extension: The court held that tax filing and payment deadlines were legally extended until July 10, 2023. Because of this, late-filing penalties, late-payment penalties, and underpayment interest charged by the IRS between January 2020 and July 2023 were deemed improper.
  • Broad Eligibility: Because COVID-19 was a nationwide disaster, nearly all individual, business, trust, and nonprofit taxpayers nationwide could be affected. 

• • The Government's Stance: The IRS does not agree with the full scope of the Kwong decision and maintains a more restrictive view of disaster relief. The Department of Justice filed a notice of appeal with the U.S. Court of Appeals for the Federal Circuit. 
  • No Automatic Refunds: The IRS will not automatically review old accounts or send refunds. Taxpayers must take active steps to claim their refunds.

• • Filing a Claim: To protect your legal rights and preserve eligibility for a refund while appeals play out, affected taxpayers generally must file a protective claim for relief.
  • The July 10 Deadline: The deadline to file a protective claim for refund or abatement (using IRS Form 843) is fast approaching, as the statute of limitations to recover past claims runs out for most taxpayers on July 10, 2026. 

My team is here to help prepare the form 843.