The Internal Revenue Service (IRS) and the California Franchise Tax Board (FTB) have announced critical tax relief for individuals and businesses in California affected by the recent wildfires. These extensions aim to help ease the burden on taxpayers in the disaster zones, providing more time to file returns and make necessary payments.

IRS and FTB Tax Relief Announcement

Both the IRS and the FTB have granted extended filing and payment deadlines for those impacted by the recent wildfires in California. Affected individuals and businesses now have until October 15, 2025, to file returns and make payments originally due during this period, including individual income tax returns and estimated tax payments.

Key Details

  • Extended Deadlines: The new deadline applies to individual income tax returns, typically due on April 15, 2025, as well as estimated tax payments typically due on January 15, April 15, June 15, and September 15, 2025.
  • Eligibility: The relief applies to residents and businesses within the designated disaster areas, which currently include Los Angeles County, California. Additionally, taxpayers outside the disaster zones who can demonstrate they were affected can request relief through the IRS disaster hotline.
  • Expanding Relief: The IRS and the FTB have indicated that more counties may be added to the disaster area as the situation progresses, and taxpayers can find an updated list of affected counties on the IRS website, as well as the FTB website.

What Does This Mean for California Taxpayers?

For California residents and businesses struggling in the aftermath of these natural disasters, the tax relief from both the IRS and FTB offers much-needed financial flexibility. By providing additional time to file returns and make payments, these measures help ease the immediate pressure of tax obligations, allowing affected individuals and businesses to focus on recovery and rebuilding efforts.

Though relief has been granted at both the federal and state levels, taxpayers should stay informed as further updates may be announced. It is highly recommended that affected individuals consult with their tax preparers to fully understand how these changes may impact their specific tax situations and to ensure compliance with new deadlines.

For more information on the IRS tax relief measures, visit the official IRS announcement here.

For additional details on the California tax relief measures, visit the FTB’s website here.

It is important to remember that IEQ and its employees do not provide tax, legal, or other advice. Clients should consult with their legal and tax advisors regarding their personal circumstances.