This Bulletin has been updated to include revised policy; refer to highlight below
The federal government has enacted legislation that will allow taxpayers to defer the filing of tax returns and payment of any taxes owed for the 2019 tax year. Taxpayers will not be required to file their tax returns, request an extension, or pay any taxes owed until July 15, 2020
Due to this new legislation, Homebridge is amending our current policy regarding the validation of payment of any taxes owed. Brokers should carefully review the information below
Filing of 2019 Individual Tax Returns
Individual tax returns must be filed on or before July 15, 2020 OR evidence an extension has been filed is required. The following applies:
Loans Funding on or before July 14, 2020
- The borrower must sign the Tax Return Affidavit, certifying they have not filed their 2019 tax returns, OR
- The borrower must provide a copy of the filed 2019 tax return
Loans Funding July 15, 2020 and After
- A copy of the 2019 tax return (and 2018, if applicable), OR
- Evidence an extension was filed (and a copy of the 2018 return, if applicable)
Partnerships and S-Corps Reminder
The tax filing deadline for partnerships (Form 1065) and S-Corps (Form 1120-S) varies.
- Borrowers required to file by March 16, 2020 (an extension was not granted by the IRS), Homebridge will require the following:
- A copy of the borrower’s tax return, OR
- Evidence an extension was filed
- Borrowers with a filing deadline on or after April 1, 2020 the policy detailed above under “Filing of 2019 Individual Tax Returns
