The Internal Revenue Service (IRS) is urging taxpayers to proactively safeguard their vital tax and financial records in preparation for potential disasters, aligning with National Preparedness Month.
“Preparing now can make a real difference when a disaster strikes,” said IRS Chief Executive Officer Frank J. Bisignano. He emphasized that all taxpayers, even those in areas not typically prone to disasters, should take precautionary steps to protect valuable property and ensure financial records are secure against events like floods, wildfires, hurricanes, and severe storms.
Key preparatory steps include keeping important documents such as tax returns, birth certificates, and insurance policies in waterproof and fireproof containers. Taxpayers should also create electronic copies of records, save them securely, and document valuable property with photos or videos. Annually reviewing and updating emergency plans is also recommended, with resources available from Ready.gov.
In the event of a disaster, the IRS offers tax relief, which can postpone certain filing and payment deadlines. This relief is often automatic for taxpayers in covered disaster areas. Those outside these areas, but whose records are affected, can contact the IRS Special Services Hotline at 866-562-5227. Additionally, individuals and businesses may be eligible to claim uninsured or unreimbursed disaster-related losses on their federal tax returns.