Yes for estimated tax, partly for payroll, and only in a limited way for IRS payment plans. If you live in West University Place, or your business has its principal place of business there, IRS news release TX-2026-05 lets you make estimated income tax payments originally due on or after July 14, 2026 by February 1, 2027 without an estimated tax penalty. Quarterly payroll tax returns normally due July 31, 2026 and November 2, 2026 are now due February 1, 2027, but payroll tax deposits aren't postponed. And an IRS installment agreement stays in effect even if you wait until February 1, 2027 to make payments that were due between July 14, 2026 and February 1, 2027, though interest and the late-payment penalty keep adding up.
Nguyen Accounting Group is a CPA firm in Sugar Land that offers tax return preparation to West University Place households and businesses. Our tax return preparation page has the general rule for returns, including a 2025 return on extension. This post covers the parts that page doesn't, and it sticks to what the release said when we read it on November 12, 2026.
Key Takeaways
- IRS news release TX-2026-05, dated October 27, 2026, lists Harris County, the county West University Place is in, as part of the covered disaster area.
- Estimated income tax payments originally due on or after July 14, 2026 can be paid by February 1, 2027 without an estimated tax penalty, according to the release.
- Quarterly payroll tax returns normally due July 31, 2026 and November 2, 2026 are now due February 1, 2027 for businesses whose principal place of business is in the covered area.
- The release says the postponement doesn't apply to employment and excise tax deposits unless an act is specifically listed in Rev. Proc. 2018-58.
- An IRS installment agreement stays in effect even if you wait until February 1, 2027 to make payments that were due between July 14, 2026 and February 1, 2027, but the release says interest and the late-payment penalty keep accruing.
- If the IRS sends a penalty notice for a date inside the postponement period, the release says to call the number on the notice to have the penalty abated.
Does the relief cover West University Place?
Yes. The release names 62 Texas counties, and Harris County is one of them. West University Place is in southwestern Harris County, and it has been its own city since it incorporated in 1925 as an enclave within Houston, according to the Handbook of Texas.
The IRS release ties the relief to location. It covers individuals who live in the covered area and businesses, tax-exempt organizations included, whose principal place of business is there. You don't apply for it. The release says the IRS automatically identifies taxpayers located in the covered disaster area and applies the filing and payment relief.
What should you do in your situation?
Find the row that sounds like you. Each one is explained under the table, and every rule in it comes from the IRS release.
| Your situation | What the release gives you | What to do |
|---|---|---|
| You pay quarterly estimated tax | Until February 1, 2027 for payments originally due on or after July 14, 2026 | Pay those installments by February 1, 2027 |
| Your business files quarterly payroll tax returns | Until February 1, 2027 for returns normally due July 31, 2026 and November 2, 2026 | File by February 1, 2027 |
| Your business makes payroll tax deposits | No postponement | Keep making deposits on time |
| You're on an IRS payment plan | The agreement stays in effect if you wait until February 1, 2027 to make payments due in the window | Expect interest and the late-payment penalty to keep adding up |
| You got an IRS penalty notice for a date in the window | A way to have the penalty abated | Call the number on the notice |
Do you still have to make your estimated tax payments on time?
No, not the ones originally due on or after July 14, 2026. The release says those payments are postponed through February 1, 2027, and that affected taxpayers won't be subject to penalties for failing to pay estimated tax installments as long as the payments are made on or before February 1, 2027.
For a West University Place resident on a calendar year, that takes in two installments. The IRS page on when to pay estimated tax lists the payment for June 1 to August 31 as due September 15, and the payment for September 1 to December 31 as due January 15 of the following year.
| Payment period | Normal due date | Date under the release |
|---|---|---|
| June 1 to August 31, 2026 | September 15, 2026 | February 1, 2027 |
| September 1 to December 31, 2026 | January 15, 2027 | February 1, 2027 |
Say you live in West U, you have consulting income on top of a salary, and you skipped the September 15 payment. Under the release, there's no estimated tax penalty on that installment if you pay it by February 1, 2027.
The earlier installments are a different story. They were due before July 14, 2026, so the release doesn't move them.
Did your payroll tax returns and deposits move?
The returns moved and the deposits didn't. The release says the February 1, 2027 deadline applies to quarterly payroll tax returns normally due on July 31, 2026 and November 2, 2026. It also says the postponement doesn't apply to employment and excise tax deposits, unless an act is specifically listed in Rev. Proc. 2018-58.
There's one narrow exception on deposits. Penalties on deposits due on or after July 14, 2026 and before July 29, 2026 will be abated as long as the deposits were made by July 29, 2026.
Say you run a small practice from an office in West U and it's the business's principal place of business. Your quarterly payroll return normally due November 2, 2026 can wait until February 1, 2027. Your payroll deposits can't.
The same split applies to year-end forms. The release says the postponement doesn't apply to information returns in the W-2 or 1099 series, with the same Rev. Proc. 2018-58 exception, so plan to send those out on the normal schedule.
What happens to your IRS payment plan?
A missed payment during the window won't cause your agreement to default. The release says an installment agreement stays in effect even if you wait until February 1, 2027 to make payments that were due between July 14, 2026 and February 1, 2027.
It isn't free time. The release says the usual interest and late-payment penalty charges keep accruing during the period. Reminder notices and direct debits also continue. If you want direct debits paused, the release says to contact the IRS or your bank.
So if you're on a payment plan, you have a choice to make. Skipping payments until February 1, 2027 won't break the agreement, but the release is clear that interest and the late-payment penalty don't stop. We have a page on IRS installment agreements if you want the background on how those plans work.
What if the IRS sends you a penalty notice anyway?
Call the number on the notice. The release says that if an affected taxpayer gets a late filing or late payment penalty notice with an original filing, payment or deposit due date inside the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty.
If your accountant missed a date and you aren't sure whether the relief covers it, our post on what to do when an accountant misses a filing deadline is about that situation. And if the notice is about something the relief doesn't cover, our tax resolution services page lists the IRS help we offer.
What if you live in West University Place but your business is somewhere else?
You're covered as an individual, and the business is covered too if its principal place of business is anywhere in the covered disaster area. That includes the rest of Harris County and Fort Bend County, which are both on the release's list.
If the business's principal place of business is outside the listed counties, it may need to ask. The release says a taxpayer outside the area is still entitled to relief when the records needed to meet a deadline are inside the area. For those cases it gives a number to call, the IRS Special Services line at 866-562-5227, to request the relief.
Our West University Place page covers the services we offer to households and businesses in the city.
Want help with a return that's still open?
Nguyen Accounting Group offers tax return preparation for individuals and businesses, in English and Vietnamese. If you have a return still open for 2025, Book Your 15-Minute Intro Call. We'll talk for 15 minutes and decide together whether we're the right firm for you.
