WASHINGTON The Internal Revenue Service is providing tax relief to individuals and businesses in 21 Indiana counties affected by severe storms, straight-line winds, tornadoes and flooding that began Aug. 11, 2026.Eligible taxpa yers now have until Feb. 1, 2027, to file many federal tax returns, make certain tax payments and complete other time-sensitive tax-related actions that were originally due between Aug. 11, 2026, and Feb. 1, 2027.The relief applies to residents and businesses in Carroll, Dearborn, Decatur, Delaware, Fayette, Franklin, Hamilton, Hancock, Henry, Lake, LaPorte, Madison, Marion, Morgan, Porter, Pulaski, Randolph, Rush, Tipton, Union and Wayne counties. It also may apply to taxpayers outside the disaster area whose records needed to meet a deadline are located in an affected county.The Feb. 1 deadline covers many individual and business income tax returns, partnership and S corporation returns, estate and trust returns, certain employment and excise tax returns, and other qualifying filings. Affected taxpayers also have until Feb. 1 to make estimated income-tax payments originally due on or after Aug. 11.The extension also applies to individuals who received an extension to file their 2025 federal income tax return. However, taxes owed on those 2025 returns were due April 15, 2026, and are not eligible for the postponement.Special relief applies to certain payroll and excise tax deposits. Penalties on deposits due Aug. 11 through Aug. 25 will be waived if the deposits are made by Aug. 26.Taxpayers with IRS installment agreements will not have their agreements default because of missed payments during the postponement period. However, interest and applicable late-payment penalties will continue to accrue. Those who want to suspend automatic payments should contact the IRS or their bank.Additional disaster reliefAffected taxpayers may elect to claim qualifying uninsured or unreimbursed disaster-related casualty losses on either their 2026 or 2025 federal tax return. The FEMA disaster declaration number, 4933-DR, should be included when claiming the loss.The IRS also will waive normal fees for affected taxpayers requesting copies of previously filed tax returns or transcripts. Qualified disaster-relief payments received from government agencies generally are not included in taxable income.Additional relief may be available for certain retirement-plan and IRA distributions related to the disaster.The IRS says taxpayers who receive a penalty notice for a filing, payment or deposit covered by the postponement should contact the telephone number on the notice to request abatement. Taxpayers outside the designated disaster area who believe they qualify can call the IRS Special Services line at 866-562-5227.The disaster declaration also may provide additional time for certain taxpayers to claim refunds or credits under the recently enacted Disaster Related Extension of Deadlines Act.Free tax preparation may be available through VITA, TCE, AARP Tax-Aide and IRS Free File programs. Disaster recovery information is available through DisasterAssistance.gov. ...read more read less