![natural_disasters_list_1_.56117a5e5df03[1]](https://www.cpapracticeadvisor.com/wp-content/uploads/2021/12/natural_disasters_list_1_.56117a5e5df03_1_.61c1db14bf0ea.png)
The American Institute of CPAs (AICPA) has released a statement applauding the passage of H.R. 1491, the Disaster Related Extension of Deadlines Act (DREDA), sponsored by Representatives Gregory Murphy (R-NC) and Jimmy Panetta (D-CA), which extends the time for filing a claim for credit or refund (i.e., the lookback period) by the disaster relief postponement period afforded to taxpayers affected by major disasters.
Previously, taxpayers impacted by disasters effectively have less time to make a refund or credit claim than those who are not affected because the deadline for refund or credit claims was based on the original filing deadline and was not extended by the filing and payment disaster relief postponement. The Disaster Related Extension of Deadlines Act solves this problem, offering taxpayers impacted by disasters more opportunities to meet their tax obligations without additional confusion, stress, and anxiety.
The AICPA expressed strong support for this and other disaster-related legislation in a February 2025 letter to House leadership for the Committee on Ways & Means. “We applaud Congress for recognizing the importance of this bill for many Americans by passing this legislation that will now be signed by the President,” said Daniel Hauffe, Senior Manager for Tax Policy & Advocacy with the AICPA. “Taxpayers affected by disasters are afforded additional time to comply with tax obligations because of the devastating real-life consequences of natural disasters, and now they will receive the same period of time to make claims for credit or refund as all other taxpayers.”
Thanks for reading CPA Practice Advisor!
Subscribe Already registered? Log In
Need more information? Read the FAQs
