Tax Relief for Hurricanes Helene and Milton
We can’t begin to express our concern for all of you directly or indirectly affected by Hurricanes Helene and Milton. The hurricanes’ devastation is truly tragic, especially considering they were two weeks apart. Please know that all of us here at ProVise are available to help in any way that we can. Thankfully, the IRS has provided filing relief for individuals and businesses impacted by Helene and now Milton.
2023 Personal, Business, and Trust Returns with Valid Extension -The filing deadline is extended until May 1, 2025. Please note that there is NO extension to pay. The payment for these returns remains April 15, 2024. Interest and penalties will continue to accrue on the balance due. For this reason, we encourage our clients to file their 2023 returns as soon as possible.
2024 3rd and 4th Quarter Estimated Tax Payments – These payments, originally due September 15th and January 15th, do not need to be remitted until May 1, 2025.
2024 Personal, Business, and Trust Returns – The filing and payment deadline are now due May 1, 2025.
2025 1st Quarter Estimated Tax Payments – The payment originally due April 15, 2025, is not due until May 1, 2025.
2024 and 2025 Quarterly Payroll and Excise Tax Returns – These returns are generally due October 31st, January 31st, and April 30th but are now not required to be filed until May 5th.
Payroll and excise tax deposits are due between September 23, 2024, and October 8, 2024 – Penalties will be abated as long as made by October 8th.
The following areas in Florida have been designated disaster zones qualifying for relief following Helene and more may be added as a result of Milton: Alachua, Bay, Bradford, Calhoun, Charlotte, Citrus, Collier, Columbia, Dixie, Escambia, Franklin, Gadsden, Gilchrist, Gulf, Hamilton, Hernando, Hillsborough, Holmes, Jackson, Jefferson, Lafayette, Lee, Leon, Levy, Liberty, Madison, Manatee, Marion, Monroe, Okaloosa, Pasco, Pinellas, Santa Rosa, Sarasota, Sumter, Suwannee, Taylor, Union, Wakulla, Walton, and Washington counties. If you are a Georgia, North Carolina, Alabama, or South Carolina resident, you likely also qualify for the relief, but please check with your tax advisor.
For our individual clients and trusts, you have a reprieve on making your 3rd and 4th quarter 2024 estimated payments, 2024 tax payment, and 1st quarter 2025 estimated tax payment until May 1st. We will work closely with you and your tax advisor to make sure that you are planning this from a cash flow perspective.
For clients who live outside of Florida, we recommend keeping to the original deadlines as much as possible to decrease the likelihood of Tax Notices from those states.
We recognize these extensions are very confusing. We want to emphasize that in many cases, only the filing, not payment, deadlines are extended. Below is a table of new filing deadlines and payments:
| Tax Return | Payment Deadline | Filing Deadline |
| 2023 Business Tax Returns | April 15, 2024, for
C-corporations |
May 1, 2025 |
| 2023 Personal and Trust Returns | April 15, 2024 | May 1, 2025 |
| 2024 3rd and 4th Quarter Estimated Tax Payments | May 1, 2025 | May 1, 2025 |
| 2024 Business, Personal, and Trust Tax Returns | May 1, 2025 | May 1, 2025 |
| 2025 1st Quarter Estimate | May 1, 2025 | May 1, 2025 |
| 2024 Quarterly Payroll and Excise Tax Returns | October 31, 2024,
January 31, 2025, and April 15, 2025 |
May 1, 2025 |
| 2024 Payroll Tax Deposit Due September 23, 2024, through October 8, 2024 | October 8, 2024 | October 8, 2024 |
Additional Tax Relief and Assistance
- Casualty Loss – Individuals and businesses in a federally declared disaster area who suffered an uninsured or unreimbursed loss can claim the loss. However, the calculation is complicated. Please reach out if you would like our assistance.
- Relief may be available for taxpayers with IRAs and retirement plans.
- Up to $22,000 penalty-free qualified disaster distributions from a qualified pension, profit-sharing, 401k, annuity, IRA, SEP, Roth, and federal Thrift Savings Plan may be permitted. If not repaid, the income can be spread over three years.
- Employer plans may allow a loan up to the lesser of $100,000 or your vested balance for up to a year.
- SBA Loan Assistance for Individuals and Businesses
https://www.sba.gov/funding-programs/disaster-assistance/hurricane-helene.
- Any Qualified Disaster Relief payment you receive from a government agency is generally not taxable.
Our thoughts and prayers remain with our clients and their loved ones impacted by Helene and Milton.
Please do not hesitate to reach out regarding your specific situation. We also want to thank our friends at the CPA firm, Crown and Company, in Clearwater, FL, for allowing us to use some of the material and guidance they provided above.
China’s Economy is Slowing…Big Time
China’s fast-growing economy is slowing and unraveling. For over 30 years, the Chinese economy has been the envy of many as it consistently grew 6-8% yearly. Manufacturers headed there in droves, seeking cheap labor to help keep the price of many goods down and keep inflation in the U.S. at bay.
China developed into the second-largest worldwide economy, and many predicted that it would eventually overtake the U.S. (which it still might, but not anytime soon). For the first time in memory, China’s economy will only grow below 5%. This sounds good by most standards, but for the Communist government, it is an embarrassment and a disaster.
For years, we have written about the Chinese real estate market and how it was a bubble that would burst. While much of the world saw real estate prices increase following the pandemic, China’s real estate prices plummeted. China pumped $41 billion into its stock market earlier this year and about $140 billion in the past few weeks to prop it up.
When will governments learn that this is only a temporary fix? Consumers are pulling back, other countries are applying tariffs, especially against EV cars and trucks, and manufacturers are moving to other countries. While some might cheer all these developments, an unstable Chinese government is not a good thing. More to come.
What Do I Do With My Unexpected Inheritance?
People sometimes receive an unexpected inheritance from a distant family member or friend. Though they did not plan for this event, they must determine the next steps. While there is a laundry list of things we recommend they do, here are a few that should be prioritized.
Secure the funds: The first step is to secure the inherited assets and understand the accounts you’ve received. You’ll likely need to open new accounts in your name for investment accounts like brokerage, IRA, Roth, or 401(k). If you’ve inherited cash, depositing the funds in an FDIC-insured bank account is a prudent initial move.
Seek professional guidance: Consulting with a financial planner, tax professional, and estate planning attorney is crucial. These experts can help you navigate the complexities of your new financial situation, including potential tax implications of withdrawals and required minimum distributions (RMDs) from qualified accounts.
Develop a strategic plan: Work with professionals to create a plan that maximizes the benefits of your newfound wealth. This plan should align with your short-term and long-term financial goals.
Consider debt repayment and investments: After establishing an emergency fund, consider using some of the inherited funds to pay off high-interest debt. Investing the remaining funds can be beneficial, but it’s important to align your investment strategy with your risk tolerance and short and long-term goals.
Before doing anything, allow yourself time to process the emotional impact of your loss and your inheritance. There’s no need to make immediate financial moves; pause to reflect and fully understand your new situation before making significant changes.
How Much is the Social Security Death Benefit?
When we think of Social Security, we think of that monthly check for retirement, and we know it will be adjusted for inflation each year. Most people do not realize that Social Security also provides a death benefit, which is a whopping $255. Not only is this not adjusted for inflation, but it has also not increased in 70 years.
Senator Peter Welch filed the Social Security Benefits Equity Act, which Senators Bernie Sanders and Elizabeth Warren co-sponsored. The bill proposes raising the death benefit to $2,900 and indexing it for inflation annually.
Theoretically, this is designed to cover cremation costs or a burial service. The National Funeral Directors Association says the median cost of funeral is about $9,150 and approximately $6,280 for cremation. While we are sure the Senators are well intentioned and $2,900 is better than $255, but come on, who are they kidding?
Social Security 2025 Increase
Well, the number is finally in regarding the increase for Social Security recipients beginning January 2025. It is a whopping 2.5%! Excited? Need we say more?
Top Ten College Majors
If you could be yourself and go back to being 18, what major would you pursue? PayScale used data from 2,400 institutions of higher education covering 763 majors to determine those that produce the best compensation and compiled it into the 2024 College Salary Report. Here are the top ten ranked by mid-career median salaries:
10) Information research – $164,900
9) Quantitative Economics – $165,100
8) Optical Science and Engineering – $166,400
7) Actuarial Mathematics – $167,500
6) Applied Economics and Management – $169,300
5) Building Science – $172,400
4) Interaction Design – $178,800
3) Electrical Engineering and Computer Science – $192,300
2) Operations Research and Industrial Engineering – $202,600
1) Petroleum Engineering – $212,100
We don’t know about you, but we are trying to figure out what some of these degrees are all about. It blows our minds to think that while the world is thinking about a “greener” future, the carbon industry looks like it isn’t going away anytime soon.
Tauck – Rescheduled to November 6th at Belleair Country Club
Attention fellow travelers. Due to the recent hurricanes affecting the Tampa Bay area, ProVise has canceled the Tampa Tauck event on October 23rd.
ProVise has teamed up with Tauck Tours for a presentation of “Travel Beyond the Ordinary Experiences.” If you are interested in discovering the world and pursuing your travel dreams, see the invitation below for details:
When: Wednesday, November 6th
Where: Belleair Country Club, One Country Club Blvd, Belleair, FL 33756
Belle Terrace Room – 2nd Floor
Time: 5 – 7 pm
Because we have limited seating, please let us know if you are interested in attending by contacting Donna Eppes at eppes@provise.com or 727-441-9022 ext. 230.
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