IRS extends tax deadlines for Kentucky and West Virginia disaster victims
Taxpayers in parts of Kentucky and West Virginia impacted by severe winter storms, flooding, landslides, and mudslides in February 2025 now have additional time to meet federal tax filing and payment obligations.
The IRS has extended deadlines to November 3, 2025, for individuals and businesses in disaster-affected areas to file tax returns and pay taxes due during this period.
This relief is part of the IRS’s response to the federal disaster declarations issued by FEMA (Federal Emergency Management Agency) for several counties in both states.
Affected taxpayers now have extra time to meet crucial tax deadlines, including the regular April 15, 2025 deadline, without incurring penalties.
Key dates and deadlines extended
New deadline: November 3, 2025
For those impacted by the storms, the new extended deadline applies to tax returns and payments originally due between February 15, 2025, and November 3, 2025.
This gives taxpayers in the affected areas additional time to submit the following:
Individual income tax returns
- The usual April 15, 2025 deadline for 2024 individual tax returns is now postponed to November 3, 2025.
Estimated tax payments
- Estimated tax payments for 2025 that were due on April 15, June 16, and September 15, 2025 now have a deadline of November 3, 2025.
IRA and HSA contributions
- Contributions to IRAs and Health Savings Accounts (HSAs) for 2024 can be made up until November 3, 2025.
Business tax returns
For businesses, the new deadline applies to:
- Quarterly payroll and excise tax returns (due April 30, July 31, and October 31, 2025).
- Partnership and S corporation returns (normally due March 17, 2025).
- Corporate and fiduciary returns (normally due April 15, 2025).
- Tax-exempt organization returns (due May 15, 2025).
Penalty relief
The IRS will abate penalties for payroll and excise tax deposits due between February 15 and March 3, 2025, provided the deposits were made by March 3, 2025.
Affected counties in Kentucky and West Virginia
Kentucky
As of March 13, 2025, FEMA declared a major disaster in the following Kentucky counties, which are now eligible for tax relief:
- Adair
- Allen
- Ballard
- Barren
- Bell
- Boyd
- Breathitt
- Butler
- Caldwell
- Carlisle
- Clay
- Crittenden
- Cumberland
- Elliott
- Estill
- Floyd
- Green
- Hancock
- Hart
- Harlan
- Hickman
- Johnson
- Knott
- Knox
- Lee
- Letcher
- Livingston
- Marshall
- Martin
- McLean
- Metcalfe
- Monroe
- Morgan
- Muhlenberg
- Ohio
- Owsley
- Perry
- Pike
- Rockcastle
- Simpson
- Spencer
- Union
- Wayne
West Virginia
Similarly, counties in West Virginia affected by storms and flooding beginning on February 15, 2025, have also been granted tax relief. These counties include:
- Logan
- McDowell
- Mercer
- Mingo
- Wayne
- Wyoming
Additional counties may be added as FEMA assessments continue, and the IRS will provide relief to these areas as well.
Additional tax relief options for disaster victims
Claiming disaster-related losses
Taxpayers affected by the storms and suffering uninsured or unreimbursed losses have the option to claim them on their 2024 tax return or on their 2025 return.
This decision can result in a larger refund, so taxpayers should carefully consider both options. You have until October 15, 2026, to make this choice.
Make sure to write the FEMA declaration number on any returns claiming disaster-related losses:
- Kentucky: DR-4860-KY
- West Virginia: DR-4861-WV
Retirement plan relief
For those with retirement plans such as IRAs or 401(k)s, disaster relief may also include special provisions for early withdrawals. Certain disaster distributions may be exempt from the usual 10% early withdrawal penalty.
Additionally, some plans allow for hardship withdrawals. Each plan has specific rules, so it’s essential to consult your provider for details.
Tax-free disaster relief payments
Disaster relief payments received from government agencies for personal, family, or home repairs are generally excluded from gross income.
This means that affected taxpayers will not need to report such payments as taxable income.
How to apply for disaster relief
If you live in the disaster area, you do not need to take any action to receive the extended deadlines and relief from penalties. The IRS will automatically apply these extensions based on your address of record.
However, if your address is incorrect, you may need to call the IRS Special Services toll-free number at (866) 562-5227 to correct it.
Additional resources
Taxpayers can access a range of IRS resources to assist with disaster recovery, including:
- The Disaster Assistance and Emergency Relief page on the IRS website
- Publication 547: Casualties, Disasters, and Thefts
- FAQs for Disaster Victims
- Disaster relief hotline: (866) 562-5227