The immediate deadline is not nationwide. It applies primarily to residents, businesses and other affected taxpayers covered by the IRS disaster-relief rules for the Southeast Georgia event, which began April 18, 2026. The IRS issued notice GA-2026-03 on May 6 and corrected it on May 18.

What the August 20 deadline covers

Eligible taxpayers generally may postpone federal individual, corporate, estate and trust income-tax returns; partnership and S corporation returns; estate, gift and generation-skipping transfer tax returns; annual information returns for tax-exempt organizations; and employment and certain excise-tax returns with original or extended due dates on or after April 18 and before August 20.

The relief also covers estimated income-tax payments originally due on or after April 18. The IRS says affected taxpayers will not face estimated-tax penalties if those installments are paid by August 20.

The relief is not a blanket extension for every tax-related task. Unless specifically listed in the applicable IRS guidance, it does not apply to information returns in the W-2, 1094, 1095, 1097, 1098 or 1099 series, or to Forms 1042-S, 3921, 3922 and 8027. Employment- and excise-tax deposits generally were not postponed. However, penalties on deposits due on or after April 18 and before May 4 were to be abated if the deposits were paid by May 4.

Who may qualify

The IRS automatically identifies taxpayers who live in the covered counties or whose businesses have their principal place of business there. Relief can also apply to taxpayers outside the disaster area when necessary records are located there, as well as qualifying relief workers and certain people who were visiting the area and were killed or injured as a result of the disaster.

Tax practitioners whose records are needed for affected filings may also request relief. Taxpayers who believe they qualify but were not automatically identified should contact IRS Special Services at 866-562-5227.

How the refund rule changed

The broader change comes from the Disaster Related Extension of Deadlines Act, which became Public Law 119-64 on December 26, 2025. Congress.gov records show that the law was signed by the president that day.

The law amended the tax code so that a period disregarded because of a federally declared disaster is treated as an extension when calculating the limitation period for a refund or credit claim. In practical terms, that can preserve additional time for an eligible taxpayer to seek money owed by the IRS when a disaster-related postponement affected the normal refund deadline.

That is different from the IRS postponement itself. The IRS notice moves the date to file a return, pay tax or complete another covered act. Public Law 119-64 addresses a separate calculation: how much time remains to claim a refund or credit. The law does not guarantee a refund and does not make every disaster-related deadline longer. Its refund-period change applies to claims filed after enactment.

What taxpayers should do now

People relying on the Georgia relief should review each federal return, payment and estimated-tax installment due between April 18 and August 20, then file or pay by August 20. They should save the IRS notice, proof that their residence, business or necessary records were in the disaster area, filing confirmations and payment records.

If the IRS sends a penalty notice for a covered filing or payment deadline, taxpayers should call the number on the notice and request abatement. Relief payments connected to the wildfires may require an individual tax analysis under IRS Publication 525, so taxpayers should not assume automatically that those payments are taxable or nontaxable.

The IRS disaster-relief index continues to list the Georgia notice as GA-2026-03. Taxpayers should check the agency’s current disaster-relief index or consult a qualified tax professional before relying on the August 20 deadline. The guidance concerns federal tax obligations, not Georgia state taxes.

Sources

• IRS Southeast Georgia wildfire tax-relief notice
• Congress.gov H.R. 1491 actions

The advocate’s Fiscal Year 2027 Objectives Report to Congress describes a mixed filing season. The IRS processed nearly 139 million individual returns and issued more than 90 million current-year refunds. About 98% of individual returns were filed electronically. About 98% of refunds were delivered by direct deposit, although the report notes that the IRS’s direct-deposit and refund totals are not directly comparable because they include different tax-year populations.

Those topline figures do not capture the experience of millions of people whose returns were suspended, whose refunds could not be sent electronically or whose cases required identity-theft assistance.

Where automated processing breaks down

More than 14 million individual returns were suspended during processing for additional review. A suspension is not, by itself, a finding of fraud or identity theft. It can mean that an IRS filter flagged a return and the agency needs more information or verification before releasing a refund.

More than 1 million taxpayers did not receive refunds within the IRS’s normal processing time. Those taxpayers waited an average of about 5.5 weeks, according to the report. Other taxpayers experienced shorter delays that remained within the agency’s normal time frame.

The delays can be financially significant for households relying on a refund for rent, groceries, medical bills or other expenses. The report says taxpayers who need individualized help often struggle more than those whose returns can be completed through automated systems.

Phone access was also uneven. Across IRS telephone lines, assistors answered about 21% of 48.1 million calls during the filing season, compared with 25% of calls in the prior filing season. The report says some high-volume lines performed particularly poorly, including the Taxpayer Protection Program line used by people whose returns were suspended because of suspected identity theft.

Why paper-refund recipients faced extra obstacles

The IRS generally shifted toward electronic payments during the filing season. That approach does not work for everyone. People who are unbanked or underbanked, some older taxpayers, certain taxpayers living overseas and others without practical access to electronic payments may need a paper check.

By April 27, the IRS had issued about 4 million notices involving returns that lacked valid direct-deposit information or contained incorrect information. The notices generally directed taxpayers to use an online account to update payment information or request an exception for a paper check.

The National Taxpayer Advocate said the process was confusing because many taxpayers did not have online accounts or could not create them. The notices also did not clearly provide all the information needed to request an exception. The report says paper-refund problems caused delays of six weeks or more in some cases.

Identity-theft cases can take nearly two years

Identity-theft cases remained one of the most serious service problems. More than 500,000 cases were still pending at the end of the filing season, and the average resolution period was about 20 months.

That is an average, not a guaranteed wait for every taxpayer. But the backlog can leave affected households waiting for refunds long after ordinary processing timelines have passed.

Taxpayers who receive a CP5071-series notice or Letter 5447C should follow the instructions on the notice and use the official IRS verification service when available. The IRS says taxpayers should have the notice and the relevant Form 1040 return available. After verification, the agency says taxpayers should wait two to three weeks before checking refund status, and processing can take up to nine weeks.

What taxpayers should do

• Read every IRS notice carefully. Use the notice number and tax year to identify the required response and deadline.
• Verify identity only through official IRS tools. Do not send Social Security numbers, tax returns or bank information through unofficial websites, messages or callers claiming to represent the IRS.
• Check an IRS Online Account and Where’s My Refund? These tools provide different information. An online account can show notices and account details, while the refund tracker provides status updates.
• Consider an Identity Protection PIN. An IP PIN can help prevent someone else from filing a federal return using a taxpayer’s Social Security number or ITIN.
• Seek additional help when ordinary channels fail. Taxpayer Assistance Centers offer in-person service by appointment. The Taxpayer Advocate Service may help when a taxpayer faces financial hardship or cannot resolve a serious problem through normal IRS channels.

What happens next

The report sets out the Taxpayer Advocate Service’s priorities for fiscal year 2027, including reducing identity-theft delays, improving communication when returns are suspended and making paper-refund procedures clearer.

Those priorities are recommendations and advocacy objectives, not completed IRS reforms. The report’s central distinction is that digital-first tools can serve many taxpayers well, but they cannot replace meaningful telephone, in-person, correspondence and case-resolution options for people with unusual circumstances or limited digital access.

For taxpayers, the practical lesson is simple: a strong filing-season topline does not mean every refund is moving normally. If the IRS freezes a return or requests identity verification, the notice and official IRS tools are the starting point; if those channels fail and the delay creates serious hardship, in-person assistance or the Taxpayer Advocate Service may be the next step.

Sources

• IRS: National Taxpayer Advocate issues 2026 mid-year report to Congress
• Taxpayer Advocate Service: FY 2027 Objectives Report to Congress
• Associated Press: IRS watchdog cites long phone waits during tax season

The state has not announced one delivery date for every household. A check mailed later in the fall would still be within the official distribution period.

What the budget authorized

The enacted budget sets aside $1 billion for POWER checks intended to provide one-time energy-cost relief. New York Assembly materials estimate that about 8.2 million New Yorkers may receive payments; that figure is an estimate rather than a final verified recipient count.

The program is separate from ongoing utility-assistance programs. The published eligibility rules are based on state tax information, not proof that a resident currently has a utility account or submission of a utility bill.

Who qualifies

Eligibility is determined from a taxpayer’s 2024 New York State resident income-tax return. Under the state’s published rules, the taxpayer must have filed a timely 2024 return, been a full-time New York resident for tax year 2024, reported income within the applicable threshold and not been claimed as a dependent on another taxpayer’s return.

The rebate is not available to every New Yorker. Residents who did not meet the 2024 filing, residency, income or dependent-status requirements should not assume they will receive a check.

How much residents may receive

The payment amount depends on 2024 filing status and income:

• $200: joint filers with 2024 income below $150,000.
• $150: joint filers with 2024 income from $150,000 to $300,000.
• $100: single filers, heads of household and other qualifying non-joint filers with 2024 income below $150,000.

The State Tax Department is expected to identify eligible recipients automatically using filing status and income information. No application is required.

When checks are expected

New York officials say POWER checks will be mailed between September and December 2026. That is a statewide mailing period, not a promise that every household will receive its check in September or on the same date.

Residents who qualify but do not receive a check early in the fall may still be within the state’s announced distribution window. The state may provide additional administrative details as the mailing process approaches.

What residents should do now

Residents should confirm that their 2024 New York resident tax return was filed and keep their mailing information current through official New York tax channels. The published program rules do not require a separate application or utility-bill submission.

Residents should be cautious about unsolicited calls, emails or text messages requesting bank-account information, fees or payment to release a POWER check. The automatic program does not require an application fee.

Fiscal context and next steps

State Comptroller Thomas DiNapoli’s July 15, 2026 report on the enacted budget lists $1 billion in tax refund checks intended to help with high utility prices. The report also says the state’s projected cumulative out-year budget gaps total $31.8 billion, reserves remain approximately $15 billion and the state expects to draw down $1.3 billion in General Fund balance by the end of State Fiscal Year 2027.

Those fiscal concerns do not change the POWER eligibility rules or payment amounts. The immediate next step is administrative: the state must use 2024 tax-return data to identify eligible recipients and carry out the September-through-December mailing process.

Sources

• Governor Hochul's energy affordability package announcement
• New York State Assembly POWER rebate announcement
• New York State Comptroller report on the SFY 2027 enacted budget

The Advocate warns that missing the deadline can permanently block relief, even if the Kwong v. United States decision is ultimately upheld. In other words: if your situation falls within the Kwong framework, timing your claim may be as important as the underlying dispute.

What the July 10, 2026 cutoff is

The Advocate explains that, in most cases, taxpayers must file a claim for credit or refund within the later of three years from when they filed their return, or two years from when they paid the tax, penalty, or interest. But if, under the Kwong reasoning, affected returns or payments are treated as due on July 10, 2023, then July 10, 2026 becomes a critical deadline for many refund or protective claims.

The Advocate also stresses that relief is not automatic: many taxpayers may need to file a refund claim, amended return, original return, abatement request, or a protective claim to preserve their rights.

Who may be affected at the household level

According to the Taxpayer Advocate’s guidance, the potentially relevant group may include taxpayers who:

• Filed a return during the COVID-19 disaster relief postponement period and were assessed penalties or interest related to that return;
• Paid, or still owe, penalties or interest for filing or paying late during that period;
• Filed late international information returns; or
• Believe they may have missed other refund opportunities or refundable benefits for tax years affected by the COVID postponement period.

If Kwong-related reasoning ultimately applies to a particular taxpayer’s facts and the appropriate, timely claim is filed, relief described by the Advocate could include refunds or abatements of penalties and interest assessed for late filings or payments during the roughly 3.5-year COVID-19 period the court addressed. The Advocate also describes a potential spillover to some taxpayers who missed refund opportunities for tax years 2019 through 2022.

How to protect your rights (refund vs. protective claim)

The Advocate says taxpayers may need to take proactive steps depending on whether they need to change the underlying tax liability or just preserve the dispute while the law is unsettled.

For Kwong-related penalty and interest claims, the Advocate generally points taxpayers to Form 843, Claim for Refund and Request for Abatement. If a taxpayer needs to change income, deductions, credits, filing status, or other items that affect tax liability, the Advocate says they generally should file an original or amended return instead of using Form 843.

For some taxpayers with an IRS Online Account, the Advocate notes an online option to submit Form 843 electronically for claims related to fully paid interest and penalties. If filing by mail, the Advocate instructs taxpayers to label the Form 843 as related to Kwong v. United States.

A protective claim is also an option when the law is unsettled, and the Advocate says it can help preserve refund rights while awaiting final resolution.

What’s still uncertain

Even with a hard deadline, there is uncertainty about how relief will be delivered in practice. The Taxpayer Advocate Service report says the IRS may receive a significant volume of Kwong-related claims and that standardized processing steps have not yet been established.

The report also describes operational friction: many Form 843 submissions may be handled on paper and processed manually, potentially creating delays. It also notes taxpayers may not receive reliable online tracking after submitting paper claims, which could make it harder to time follow-up actions for household budgeting purposes.

What to do before July 10, 2026

• Review your COVID-19-era filing and payment timeline and identify any penalties or interest the IRS assessed during the postponement period.
• Compare your records to the Taxpayer Advocate’s description of potentially eligible situations under the Kwong framework.
• If you may need a claim to preserve rights, plan to submit it by July 10, 2026 and follow the Advocate’s Form 843 and labeling instructions.

For the most accurate steps, rely on the IRS and Taxpayer Advocate materials tied to the Kwong deadline and Form 843 requirements.

Sources

• IRS Newsroom: National Taxpayer Advocate issues 2026 mid-year report to Congress (introducing TAS priorities, including Kwong-related taxpayer-rights protection)
• National Taxpayer Advocate blog: “Act on or before July 10, 2026 to protect potential COVID-19 disaster relief refund claims”