Tax-payers get some relief in the wake of Sally

Published 2:33 pm Wednesday, September 23, 2020

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MONTGOMERY, Sept. 23, 2020 – The Alabama Department of Revenue (ALDOR) is offering tax relief to Alabama taxpayers who reside or have a business in Baldwin, Escambia, and Mobile counties and have been affected by damage caused by Hurricane Sally. The tax relief measures mirror IRS measures in the same declared disaster areas.

ALDOR will grant filing extensions to taxpayers directly affected by Hurricane Sally. Alabama taxpayers residing in areas designated as disaster areas by the federal government have until Jan. 15, 2021, to file tax returns due on or after Sept. 15, 2020, and before Jan. 15, 2021. Penalty relief will be provided during the extension period. Taxpayers seeking this Alabama tax relief should write “Sally Relief – 2020” in red ink on any state paper return/report which relies on this filing extension relief.

Affected taxpayers filing electronically for Individual Income Tax, Corporate Income Tax, Pass-through Entities, Business Privilege Tax, or Withholding Tax may submit a penalty waiver request using the Department’s Form PWR, which can be accessed on the Department’s website at https://revenue.alabama.gov/wp-content/uploads/2020/09/fpwr0920.pdf. Taxpayers may submit the form to the Department’s Income Tax Administration Division at the address on the form. Taxpayers may contact the following ALDOR offices by telephone for any additional filing guidance:

  • Sales and Use Tax: 334-242-1490
  • Individual Income Tax: 334-353-0602
  • Corporate Income Tax: 334-242-1200
  • Pass-through Entities: 334-242-1033
  • Business Privilege Tax: 334-353-7923
  • Withholding Tax: 334-242-1300

For more information on this relief, including a list of the eligible localities, view the IRS announcement at https://www.irs.gov/newsroom/tax-relief-in-disaster-situations. Taxpayers in localities added later to the disaster area, including those in other states, will automatically receive the same filing and payment relief. The current list of eligible localities is always available on the disaster relief page on IRS.gov.

In addition, taxpayers in areas not specifically designated as disaster areas who encounter difficulty filing on time due to weather-related circumstances associated with Hurricane Sally may be eligible to request a waiver of late-filing and late-payment penalties after providing appropriate documentation to ALDOR.