IRS Tax Relief For Hurricane Victims

The Internal Revenue Service (IRS) has made several arrangements so that victims of Hurricanes Katrina, Rita and Wilma get appropriate help and IRS relief. The aim behind these relief measures is to help the affected tax payers recover financially from a disaster that has robbed them of hearth and home. IRS relief is offered for both individuals and businesses.

The IRS assistance for hurricane victims takes many forms. The assistance can come in any of the following ways:

· Reconstruction of lost records: Many hurricane victims have lost all their tax records in the disasters. The IRS is offering help to reconstruct these records. It gives recommendations about how to get back records related to vehicles and businesses as well as personal records and real estate.

· Tax Relief: The IRS has made special provisions to grant tax relief to both individuals and businesses. Much of the IRS relief is for those who live in the Presidential Disaster Areas affected by the hurricanes. Further, affected counties have been brought under the Federal Emergency Management Agency (FEMA).

However, those who do not live in these counties but have been affected by the disasters nonetheless are also brought under the purview of the IRS relief measures. Relief workers associated with recognised government or charitable organisations involved in rehabilitation and disaster management related to the hurricanes are also eligible for tax relief.

The details of the IRS relief vary for each of the three hurricanes, Katrina, Rita and Wilma. All of them encompass issues like postponement of deadlines for filing returns, paying taxes and getting faster refunds.

· Publications: The IRS has issued several publications detailing the arrangements that it has made for those affected by each of the hurricanes. A new publication of the IRS helps learn about the changes that have been made in the tax law and relief provisions to help hurricane victims.

· Tax Breaks and other facilities: Tax breaks and incentives are offered for small businesses and employers. The IRS is also allowing individuals and businesses to compute certain parts of their tax returns on the basis of the returns of the previous year in cases where the records have been destroyed by the hurricane. Tax payers can also get quicker refunds if they claim losses as a result of the disaster.

· Advice: The IRS answers queries related to the details of the relief through its website and help lines. Technical legal guidance and advice for tax professionals, especially those who have lost their records in the hurricane is also given. The IRS has issued guidelines for those who are making donations for hurricane relief. These guidelines help donors make informed choices regarding their contributions and also warn against charity scams.

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