2019 Tax Year deadlines for IRA, SEP, HSA contributions

[Jane]

Is the deadline for these contributions extended to July 15th as well?

[Dude]

Doubt it. The spirit of the extension was to allow people to preserve cash on hand not enable sheltering. Then again after they cram everything through this weekend who knows what we end up with.

[TaxGuyBill]

As of now, in my OPINION, no, because it is the IRS/Treasury that made the change. But if Congress makes the change in the law, then yes.


Here is the pertinent law in §219:
For purposes of this section, a taxpayer shall be deemed to have made a contribution to an individual retirement plan on the last day of the preceding taxable year if the contribution is made on account of such taxable year and is made not later than the time prescribed by law for filing the return for such taxable year (not including extensions thereof).

So my reasoning is "the time prescribed by law" is April 15th.

However, the other line of reasoning is that somewhere it allows the IRS/Treasury to change the due date, so that MIGHT make July 15th "the time prescribed by law".


Hopefully Congress and/or the IRS/Treasury will address this.

[rbynaker]

I don't know why they're doing this piecemeal. There is executive authority under the Regs in 7508A.


301.7508A-1(c)(1)(iii) discusses authority to extend "acts performed by taxpayers" to include:

(iii) Making contributions to a qualified retirement plan (within the meaning of section 4974(c)) under section 219(f)(3), 404(a)(6), 404(h)(1)(B), or 404(m)(2); making distributions under section 408(d)(4); recharacterizing contributions under section 408A(d)(6); or making a rollover under section 402(c), 403(a)(4), 403(b)(8), or 408(d)(3);

So they CAN do it, but so far I have not seen where they've done so. Maybe tomorrow. <shrug>

Rick

[TaxGuyBill]

Thanks Rick. I was wondering where it allowed that, but was too lazy to look for it. :-)

[rbynaker]

I stumbled upon it a few days ago. Prior to that I thought it had to be Congressional action.

[Burke]

This has got to be resolved and clarified. I have several TP's who plan to do this, and the extended dates are determining whether they will or not. Maybe the professional tax associations can intervene, like the IRS Liaison with NATP, especially since many small tax preparation offices/preparers have stated they are closing up until 7/15/20. Not me. I am pushing to get everybody out of here asap. The IRS deadline for payment may be 7/15, but VA only extended to 6/1/20! Aargh!!!