Californians hit by storms will get tax relief and a new IRS deadline. Here’s who qualifies
California residents living in counties hit hard by the tumultuous set of storms in January will qualify for some tax relief and deadline extensions, according to the Internal Revenue Service.
Deadly flooding and mudslides throughout the state caused damages estimated between $31 billion and $34 billion as of Wednesday, according to AccuWeather, a commercial weather forecasting site.
Here’s what you need to know:
How does it work?
Any California resident with a IRS address located in the disaster area will automatically receive filing and penalty relief from the IRS.
If you receive a late filing or late payment notice and reside within a disaster area, the IRS advises that you call the number on the notice to have the fee removed.
Postponed tax deadlines
Those affected by the storm now have until May 15, 2023 “to file various federal individual and business tax returns” as well as make tax payments, the Internal Revenue Service announced Thursday. The tax deadline is usually in April.
Some of payment deadlines that have been postponed include:
- Tax filing and payments deadlines that started Jan. 8.
- 2022 individual income tax returns due April 18
- Business returns due by March 15 and 18
- Eligible taxpayers now also have until May 15 to make 2022 contributions to their IRA’s and health savings accounts
- Farmers who normally file returns by March 1
- Quarterly estimated tax payments normally due on Jan. 17 and April 18. It can now be included in the 2022 that’s filed
- Quarterly payroll and excise tax returns normally due on Jan. 31 and April 30.
Which California counties are included in the change?
Those who were affected must live in the counties included in the federal emergency declaration to qualify. The full list of qualifying counties is listed below:
- Sacramento
- Colusa
- El Dorado
- Glenn
- Humboldt
- Los Angeles
- Marin
- Mariposa
- Mendocino
- Merced
- Monterey
- Napa
- Orange
- Placer
- Riverside
- San Bernardino
- San Diego
- San Joaquin
- San Luis Obispo
- San Mateo
- Santa Barbara
- Santa Clara
- Santa Cruz
- Solano
- Sonoma
- Stanislaus
- Sutter
- Tehama
- Ventura
- Yolo
- Yuba
As counties get added to the list, those residing there will also qualify for a tax break. If your county is not listed as a disaster area, but you did experience damages due to the storms, the IRS stated in its press release to contact its offices.
This story was originally published January 12, 2023 at 12:16 PM.