Please ensure Javascript is enabled for purposes of website accessibility

Tax Deadline Could Be Pushed Back Again

By David Butler – Jun 24, 2020 at 5:34PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Treasury Secretary Steve Mnuchin indicated that it's possible that the shift to July 15 won't be 2020's last filing deadline postponement.

In an interview Tuesday, Treasury Secretary Steven Mnuchin gave credence to the possibility that this year's tax filing deadline, which was postponed to July 15 due to the COVID-19 pandemic, might be pushed back still further.

To be clear, Mnuchin reiterated that as things stand now, July 15 will still be the last day for Americans to file their taxes on time or request an extension from the IRS. However, his comments show that there are genuine concerns that the economy, personal finance, and the pandemic may require the government to adjust. In states across the country, and particularly in the South and West, the numbers of newly diagnosed cases of COVID-19 have risen sharply to new highs over the course of the last two weeks. Despite major declines in states that were early hot spots, diagnoses in the U.S. overall have been on the rise, and on Tuesday, the daily diagnosis total was just shy of the country's previous worst daily total of the pandemic, which came on April 24.

One has to wonder how much of a contributing factor the pandemic's resurgence was to Mnuchin's suggestion that this year's tax deadline could be moved to Sept. 15.

Piggy bank with mask

Image Source: Getty Images

The rise of the coronavirus globally and the impact of U.S. efforts to stem its growth here turned the country's April tax tradition upside down. The delayed deadlines were just one piece of a far broader attempt to stave off the financial hardships that impacted U.S. citizens as much of the economy was shut down. 

Overall, another postponement of the tax deadline would be far from the most aggressive move that Washington has made this year. Given that the CARES Act provided more than $2 billion of stimulus for the economy, including more than $200 billion in direct payments to individuals, nothing seems off the table. Many politicians, economists, and pundits have asserted that a second round of stimulus checks will be needed, but getting another major bill through Congress will be much harder than moving tax day back a few more months.

If the numbers of new COVID-19 cases continue to rise, and the U.S. economy runs into more obstacles en route back to pre-pandemic levels of activity, it would not be hard to imagine the government choosing to make taxes more manageable for workers. Much will depend on how the course of the country's health crisis progresses from here. 

None

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning analyst team.

Stock Advisor Returns
332%
 
S&P 500 Returns
104%

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 09/30/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.