IRS Expands Disaster Relief for Texas, Missouri, Arkansas & Tennessee: What Tax Professionals Need to Know

On July 24, 2025, the IRS announced expanded disaster relief for taxpayers in multiple states affected by recent severe weather. The updated relief now includes areas of Texas, Missouri, Arkansas, and Tennessee, granting automatic filing and payment extensions for impacted individuals and businesses.

This update is critical for tax professionals managing returns, payments, and compliance calendars for clients in the affected regions. Missed deadlines due to disaster disruption can now be avoided—if the correct IRS procedures are followed.

What’s in the Relief Announcement?

The IRS has postponed various tax deadlines under its authority in IRC § 7508A, offering affected taxpayers more time to meet their federal obligations without penalty or interest.

Covered States and Key Dates:

State	Disaster Type	Coverage Start Date	New IRS Deadline
Texas	Severe storms, flooding, wind	July 2, 2025	February 2, 2026
Missouri	Storms and flooding	May 16, 2025	November 3, 2025
Arkansas & Tennessee	Tornadoes and storms	April 2, 2025	November 3, 2025

Affected Returns and Payments:

• Individual income tax returns (Forms 1040)

• Quarterly estimated tax payments

• Payroll and excise tax returns

• Business income returns (e.g., Forms 1120, 1065, 1120S)

• Contributions to IRAs and HSAs

  
  

Who Qualifies?

Taxpayers automatically qualify for relief if their principal residence or business is located in a FEMA-designated disaster area listed on the IRS disaster relief page. No additional paperwork is needed filing addresses and ZIP codes are used to grant automatic extensions.

Out-of-state taxpayers (e.g., CPAs or fund managers) with records or businesses inside the affected area may also qualify—but must contact the IRS to request relief.

What Tax Professionals Should Do Now

1. Audit Your Client Base by ZIP Code

Verify whether your firm has clients in impacted counties and confirm if they qualify for automatic relief.

2. Update Internal Filing Calendars

Push back deadlines for returns and payments to the new extension dates. Avoid unnecessary late filings or premature estimated payments.

3. Communicate with Clients Proactively

Let clients know about the relief, especially if they were affected by storms and may have missed normal filing dates. This is also a chance to provide real value and reassurance during times of crisis.

4. Track Estimated Payment Adjustments

For businesses, confirm which quarters are covered. In most cases, Q3 2025 estimated taxes (due Sept. 15) are now delayed into 2026 (for Texas) or November (for Missouri, Arkansas, Tennessee).

Final Thoughts

As extreme weather becomes more frequent, the IRS continues to expand and automate its disaster relief response. For tax professionals, this means staying up-to-date with shifting timelines and making sure clients get every benefit they're entitled to.

Bizora AI flags clients in disaster-declared ZIP codes and auto-adjusts filing timelines so your team stays compliant without missing a beat.