Tax Relief Following State of Israel Terrorist Attacks

The IRS has announced tax relief for taxpayers impacted by the Oct. 7 terrorist attacks against the State of Israel. The announcement comes only three days before the Oct. 16 tax deadline for those who requested a federal filing extension for last year’s taxes. Eligible taxpayers now have until Oct. 7, 2024, to file these returns. The IRS has also extended certain other tax filing and payment deadlines. 

On Saturday, Oct. 7, the State of Israel was attacked by Hamas. The attacks have resulted in more than 1,300 reported deaths, including at least 14 Americans. More than 100 people, including 17 Americans, remain missing as of Thursday.

During a briefing Tuesday, President Biden said the United States "will make sure Israel has what it needs to take care of its citizens, defend itself, and respond to this attack." 

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State of Israel tax relief 

For its part, the IRS announced that eligible taxpayers now have until Oct. 7, 2024, to file certain tax returns and make certain tax payments that were originally due between Oct. 7, 2023, and Oct. 7, 2024. 

These extensions include (but might not be limited to) the following:

• Taxpayers with an original tax filing extension of Oct. 16, 2023 now have until Oct. 7, 2024 to file 2022 federal tax returns. (Taxes owed for 2022 returns were due April 18, so the tax relief does not extend these payments.)
• Individual and business tax returns and payments originally due on March 15 and April 15, 2024 are now due Oct. 7, 2024.
• Quarterly estimated income tax payments originally due on Jan. 16, April 15, June 17 and Sept. 16, 2024 are now due Oct. 7, 2024.
• Taxpayers now have until Oct. 7, 2024 to contribute to retirement accounts.

Who qualifies for tax relief? 

According to the IRS, the following taxpayers qualify for tax relief. However, additional relief may be announced in the future.

• Individuals whose principal residence or business entity or sole proprietor whose principal place of business is in Israel, the West Bank, or Gaza
• Any individual, business or sole proprietor, or estate or trust whose books, records, or tax preparer is located in the covered area
• Anyone killed, injured, or taken hostage due to the terrorist attacks
• Those affiliated with a recognized government or philanthropic organization and who are assisting in the covered area

The IRS will automatically grant relief to eligible taxpayers. However, if you qualify for relief but live outside the disaster area, you can contact the IRS disaster hotline at 1-866-562-5227.

Some taxpayers impacted by the terrorist attacks may receive a late filing or payment notice. This can happen if the IRS doesn't have a record of you living in the affected area (for example, if you recently moved). In this case, taxpayers should call the number on the notice for relief.