Tax Deadline Extension Relief Available for California Wildfire Victims

January 10, 2025

My heart goes out to everyone affected by the devastating wildfires and winds in southern California.

Individuals and businesses affected by the recent wildfires and winds in southern California can get some tax relief from the IRS. The tax deadline is extended to October 15, 2025 for filing various federal tax returns and making payments normally due from January 7 to October 15, 2025.

Examples of postponed deadlines:

*April 15, 2025 deadline for filing individual income tax returns and making payments

*Quarterly estimated income tax payments due January 15, April 15, June 15, and September 15, 2025

*Quarterly payroll and excise tax returns normally due on Jan. 31, April 30, and July 31, 2025.

*Various business and tax-exempt organization returns and payroll and excise tax returns normally due March 15 to May 15, 2025.

*2024 contributions to IRAs and health savings accounts for eligible taxpayers.

In addition, penalties for payroll and excise tax deposits due January 7 to 21, 2025 are abated if deposits are made by January 22.

Those who suffered uninsured losses may choose to claim the loss on either their 2025 or 2024 tax return.

Automatically, those with an IRS address in areas affected by the wildfires, including Los Angeles County which FEMA has declared a disaster zone, will receive tax relief without needing to take any additional steps. They do not need to contact the agency to get this relief.

However, taxpayers who moved to the disaster area after filing may still receive a penalty notice from the IRS. They should call the number on the notice to have the penalty abated.

Those living outside the disaster area but with necessary records located in the area should call the IRS at 866-562-5227 for relief assistance.

Affected taxpayers who participate in a retirement plan or individual retirement arrangement (IRA) may be eligible to take a special disaster distribution that would not be subject to the additional 10% early distribution tax, be allowed to spread the income over three years, and be eligible to make a hardship withdrawal.

One thing to remember is that this relief applies only to 2024 filing and payment deadlines. So, if you owe back taxes for prior years, I suggest working with a tax relief professional such as a Certified Tax Resolution Specialist. Ace Plus Tax Resolution has been very successful in resolving tax controversy cases. Call (213) 600-7388 today.