The Alabama Department of Revenue announced that for Alabama tax filing purposes, it will follow the federal tax filing relief that is being offered to Alabama farmers and fishermen.

The Internal Revenue Service recently announced that it will issue guidance in the near future to provide relief from the federal estimated tax penalty for those farmers and fishermen who are unable to file and pay their 2012 federal taxes by the March 1 deadline, due to the delayed start of the tax filing season.  (Reference “IRS Provides Penalty Relief to Farmers and Fisherman,” IR-2013-7, issued Jan. 18, 2013.)

Alabama will offer similar relief.

Normally, farmers and fishermen who choose not to make Alabama quarterly estimated tax payments are not subject to an estimated tax penalty if they file their Alabama annual tax returns and pay the full amount of Alabama tax due by February 28 each year.

Alabama farmers and fishermen who miss the state February 28 deadline this year will not be subject to the Alabama estimated tax penalty if they file and pay by April 15, 2013.  Alabama farmers and fishermen seeking this state relief should contact the Alabama Department of Revenue at 334.242.1000 or online at www.revenue.alabama.gov, if the underestimation penalty is applied.

As for federal purposes, an Alabama taxpayer qualifies as a farmer or fisherman for tax-year 2012 if at least two-thirds of the taxpayer’s total gross income was from farming or fishing in either 2011 or 2012.