Dandelion flower


COVID-19: Updated state and local tax due date relief developments

Multistate Tax alert | April 15, 2020

This alert summarizes due date relief provisions of Internal Revenue Service (IRS) Notice 2020-18 and 2020-23; and various state and local responses.


In response to the Novel Coronavirus (COVID-19) pandemic, state and local governments are employing various strategies to propose due date relief to businesses and individuals through tax guidance and legislation. This alert discusses due date relief provisions of:

  • Internal Revenue Service (IRS) Notice 2020-181 and and 2020-232, and
  • Various State and Local Responses.

IRS Notice 2020-18 and 2020-23

On March 20, 2020, the Department of the Treasury and the IRS issued Notice 2020-18 to provide relief from the April 15 tax deadline to affected taxpayers by automatically extending due dates for income tax returns and payments (including payments of tax on self-employment income and estimated income tax payments) to July 15, 2020. Pursuant to Notice 2020-18, an “Affected Taxpayer” is any person (which includes an individual, a trust, estate, partnership, association, company or corporation, as provided in Section 7701(a)(1) of the Internal Revenue Code) with a Federal income tax payment or Federal income tax return due April 15, 2020.

On April 9, 2020, the Treasury Department and the IRS issued Notice 2020-23, which further amplifies the relief provided in Notice 2020-18 by providing additional relief to taxpayers affected by the COVID- 19 pandemic. As a result, the federal due date extensions now generally apply to all taxpayers with filing and payment deadlines between April 1 and July 15, 2020. Notice 2020-23 relief is extremely broad applying to almost all time-sensitive actions that would otherwise have to be taken between April 1 and July 15. In addition, Notice 2020-23 postpones due dates with respect to certain government acts.

State and Local Responses

States are responding to the ongoing COVID-19 developments in somewhat differing ways.

Most states have conformed to IRS Notice 2020-18 and moved their filing and payment deadline(s) to July 15. Some states, however, have not provided any guidance or only conform for certain types of taxpayers. A few states have provided guidance for fiscal year filers and for estimated payments. A handful of states have granted due date relief but moved the filing and payment deadline(s) to a date other than July 15. Florida has not provided any due date or payment relief to any taxpayers at this time. New York City has not provided any specific due date or payment relief, but it has indicated that taxpayers may request penalty waivers. Minnesota and Montana are only providing relief to individuals. Massachusetts has provided due date relief to individuals but not to corporations; however, the state has said it will waive penalties for late filed corporate excise tax returns and payments due on April 15, 2020. Arkansas has provided relief to individuals and certain pass-through businesses but not corporations. New Hampshire has provided relief for certain qualifying taxpayers. Virginia has extended the due date for payments but not returns. Most of these states issued their guidance prior to the issuance of IRS Notice 2020-18. A few states have responded to Notice 20202-23, but it remains to be seen whether more states may further revise their payment and due date relief guidance.

Many jurisdictions have responded to COVID-19 by providing relief beyond the income tax. These states have provided a wide range of relief measures for certain indirect taxes including the sales and use tax as well as a variety of other taxes. The relief granted outside the income tax due date context cannot easily be categorized.

Download a state-by-state summary of the COVID-19 relief issued to date.

Additional state and local considerations

In states that have not given explicit guidance, and that generally automatically accept a valid federal tax extension without requiring a separate state extension, it is unclear whether those states will still consider state extensions to be valid if no federal extension is filed due to the automatic federal due date postponement granted pursuant to Notices 2020-18 and 2020-23. To avoid the potential for inadvertently late or missed filings in states that have not issued formal guidance, taxpayers should either file their federal extension by April 15, 2020 or file a state extension by the state’s original tax return due date, as applicable. For any state that usually follows the federal extension but has not spoken, it is recommended to file the federal extension with the IRS by April 15, 2020.

In addition, although many legislatures and taxing authorities are providing due date relief, most states have not yet addressed other timing issues, including extensions with respect to statute of limitations for appealing tax assessments, refund claim denials and determinations by tribunals and administrative processes. In many states, these timing issues are statutory and not discretionary. For more information on how state tax controversies may be impacted by COVID-19, please see Deloitte’s alert, State Tax Controversies – The COVID-19 Effect.4

 Back to top


1 Notice 2020-18 is available here. This supersedes IRS Notice 2020-17, issued on March 18, 2020, available here. Notice 2020-18 restates and expands upon the relief provided in Notice 2020-17.

2 Notice 2020-23 is available here.

3 The following is current through April 14, 2020.

4 State Tax Controversies – The COVID-19 Effect is available here.

Back to top


Valerie Dickerson, partner—Deloitte Tax LLP, Washington, DC, +1 202 220 2693

Joe Garrett, managing director—Deloitte Tax LLP, Birmingham, +1 205 321 6062

Shaheen Bakaya, manager—Deloitte Tax LLP, New York, +1 212 436 2594

Amber Rutherford, Senior Manager—Deloitte Tax LLP, Nashville, +1 615 259 1830

Back to top

The authors of this alert would like to acknowledge the contributions of Lauren Kim to the drafting process. Lauren is a Tax Senior in the Washington National Tax practice of Deloitte Tax LLP.

For further information, visit our website at www.deloitte.com/us/multistatetax

Follow @DeloitteTax

This alert contains general information only and Deloitte is not, by means of this alert, rendering accounting, business, financial, investment, legal, tax, or other professional advice or services. This alert is not a substitute for such professional advice or services, nor should it be used as a basis for any decision or action that may affect your business. Before making any decision or taking any action that may affect your business, you should consult a qualified professional adviser. Deloitte shall not be responsible for any loss sustained by any person who relies on this alert.


About Deloitte

As used in this document, “Deloitte” means Deloitte Tax LLP, a subsidiary of Deloitte LLP. Please see www.deloitte.com/us/about for a detailed description of our legal structure. Certain services may not be available to attest clients under the rules and regulations of public accounting.

Copyright © 2020 Deloitte Development LLC. All rights reserved.

Multistate Tax alert archive

The Multistate Tax alert archive includes external tax alerts issued by Deloitte Tax LLP's Multistate Tax practice during the last three years. These external alerts highlight selected developments involving state tax legislative, judicial, and administrative matters. The alerts provide a brief summary of specific multistate developments relevant to taxpayers, tax professionals, and other interested persons.

View the list of archived Multistate Tax alerts.

Filigree light bulb

Fullwidth SCC. Do not delete! This box/component contains JavaScript that is needed on this page. This message will not be visible when page is activated.