New Hampshire Businesses, Individuals Get A Tax Filing Break
Most companies filing New Hampshire business taxes and individuals filing interest and dividends taxes are getting a two-month extension because of the coronavirus pandemic, the state Department of Revenue Administration announced Monday.
Larger business still have to pay on time, but they will be given greater leeway to file for an extension and to make estimated quarterly payments.
“We sympathize with taxpayers during this uncertain time and anticipate this relief will help put them at ease as we all continue to navigate this rapidly changing situation.” DRA Commissioner Lindsey Stepp.
The filing change primarily benefits business that paid less than $50,000 in combined business profits tax and business enterprise tax in 2018. That encompasses 98% of all New Hampshire businesses, according to the DRA. These businesses won’t have to file or pay their 2019 returns until June 15, no questions asked, no penalty charged. They can also put off their first quarterly estimated payments for 2020 until then, the same time their second quarterly is due.
Similarly, the relief also extends the deadlines to June 15 for individual who paid less than $10,000 in interest and dividends tax.
All taxpayers, including large ones, also are being given a bit of a break when it comes to estimated tax payments and filing extension for Nov. 15. Under previous rules, anyone can file for the November extension, but they might owe a penalty if weren’t paid up in full by April 15.
However, taxpayers may not know if they are paid up in full because the federal government extended its filing deadline to July 15. And since state returns are based on federal returns, many businesses won’t be sure of their state tax liability in June, much less in April. So those penalties will be waived, if they are paid up in full using 2018 figures.
Similarly, taxpayers could use 2018 figures to figure out their quarterly estimates for 2020, without penalty.