WISCONSIN (NBC 26) — The Internal Revenue Service has announced tax relief for individuals and businesses in Wisconsin affected by severe storms, tornadoes, and flooding that began on April 13, 2026. Affected taxpayers now have until Nov. 2, 2026, to file various federal individual and business tax returns and make tax payments.
Following a disaster declaration issued by the Federal Emergency Management Agency, individuals and households in the following counties qualify for relief: Bayfield, Brown, Buffalo, Iowa, Jackson, Jefferson, Juneau, Kenosha, Kewaunee, Manitowoc, Marathon, Milwaukee, Outagamie, Racine, Rock, Sauk, Vernon, Washington, Waukesha, Waupaca, and Winnebago. Residents of the Oneida Indian Reservation also qualify.
The Nov. 2, 2026, deadline applies to affected taxpayers who would have been required to file their 2025 individual income tax returns and pay any tax due on April 15, 2026. It also applies to taxpayers who had a valid extension to file their 2025 return, as well as affected quarterly payroll and certain excise tax returns normally due on April 30 and July 31, 2026.
Penalties on payroll and excise tax deposits due on or after April 13, 2026, and before April 28, 2026, will be abated as long as the tax deposits are made by April 28, 2026.
If an affected taxpayer receives a late filing or late payment penalty notice from the IRS with an original filing, payment, or deposit due date that falls within the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty.
Who qualifies
Eligible taxpayers include individuals who live, and businesses — including tax-exempt organizations — whose principal place of business is located in the covered disaster area. Taxpayers outside the covered disaster area whose records necessary to meet a deadline are located within the disaster area are also entitled to relief. Relief workers affiliated with a recognized government or philanthropic organization assisting in the disaster area, and any individual visiting the covered disaster area who was killed or injured as a result of the disaster, are also eligible.
Casualty losses
Affected taxpayers in the federally declared disaster area may claim disaster-related casualty losses on their federal income tax return for either the year in which the event occurred or the prior year. Individuals may deduct personal property losses not covered by insurance or other reimbursements. Affected taxpayers claiming the disaster loss on their return should include FEMA disaster declaration number 4923-DR on any return.
Other relief available
The IRS will waive the usual fees for requests for copies of previously filed tax returns for affected taxpayers. Taxpayers should write the assigned FEMA declaration number, 4923-DR, in bold letters at the top of Form 4506 or Form 4506-T and submit it to the IRS.
Qualified disaster relief payments are generally excluded from gross income. Affected taxpayers can exclude from their gross income amounts received from a government agency for reasonable and necessary personal, family, living, or funeral expenses, as well as for the repair or rehabilitation of their home or the repair or replacement of its contents.
Additional relief may be available to affected taxpayers who participate in a retirement plan or individual retirement arrangement. A taxpayer may be eligible to take a special disaster distribution that would not be subject to the additional 10% early distribution tax and that the taxpayer may take into income over 3 years. Taxpayers may also be eligible to make a hardship withdrawal. Each plan or IRA has specific rules and guidance for participants to follow.
For anyone affected by a natural disaster, the government may further extend the due date for filing the Report of Foreign Bank and Financial Accounts. Taxpayers should review relevant FBAR relief notices for complete information.
Taxpayers who do not qualify for disaster tax relief may qualify for reasonable cause penalty abatement.
Affected taxpayers contacted by the IRS on a collection or examination matter should explain how the disaster impacts them so the IRS can provide appropriate consideration. Forms and publications are available at IRS.gov.
