After COVID-19, shelter-in-place orders, protests, loss of jobs, remote learning, etc., many are wondering, “What’s next? Godzilla?!”. For some, natural disasters have come instead.
If the President declares a natural disaster, the IRS and DOL are able to issue special extensions for particular deadlines. Information found below strictly follows the Health and Welfare Form 5500.
For the first time, Wrangle has dedicated a blog post to list out the leading natural disasters that have occurred since August and have, in turn, led to special extensions for the Form 5500. If there are any future natural disasters, we will be sure to communicate those as well.
| Natural Disaster | Business located within the counties/parishes affected | The extension applies to deadlines – either an original or extended due date | Relief wording Wrangle will list * | Source |
| Texas Winter Storm | All 254 counties in Texas have the special extension | On or after February 11, 20201, and before June 15, 2021. They are postponed through June 15, 2021 | Texas Winter Storm Relief | https://www.irs.gov/newsroom/irs-announces-tax-relief-for-texas-severe-winter-storm-victims |
| Oklahoma Winter Storm | All 77 counties in Oklahoma have the special extension | On or after February 8, 20201, and before June 15, 2021. They are postponed through June 15, 2021 | Oklahoma Winter Storm Relief | https://www.irs.gov/newsroom/irs-announces-tax-relief-for-oklahoma-severe-winter-storm-victims |
| Louisiana Winter Storm | All 64 parishes in Louisiana have the special extension | On or after February 11, 20201, and before June 15, 2021. They are postponed through June 15, 2021 | Louisiana Winter Storm Relief | https://www.irs.gov/newsroom/irs-announces-tax-relief-for-louisiana-severe-winter-storm-victims |
| Alabama Severe Storm | Bibb, Calhoun, Clay, Hale, Jefferson, Perry, Randolph, and Shelby counties | On or after March 25, 2021, and before August 2, 2021 are postponed through August 2, 2021. | Alabama Severe Storm Relief | IRS announces tax relief for victims of severe storms, straight-line winds, and tornadoes in Alabama | Internal Revenue Service |
If the Plan Administrator does receive a late filing or late payment penalty notice from the IRS that has an original or extended filing that falls within the postponement period, the Plan Administrator should call the telephone number on the notice to have the IRS abate the penalty.
Please note:* Wrangle will check the “special extension” box in Part I, Line D of the main body of the Form 5500 and describe the relief on the associated explanation line.
If you have any other questions on this matter or need assistance pinpointing a specific city in one of the disaster areas, feel free to contact Ann McAdam, amcadam@wrangle5500.com.