California wildfire victims can now wait months to file taxes, IRS says. Here’s who qualifies

California residents affected by devastating wildfires in Los Angeles County now have another form of assistance.

State and federal tax agencies are teaming up to provide disaster tax relief for home and business owners impacted by the Southern California wildfires that have scorched more than 40,000 acres, destroyed thousands of structures and killed at least 25 people.

Taxpayers impacted by the Palisades Fires and other major blazes now have until Oct. 15 to file various federal income and business tax returns and make tax payments, the IRS announced Monday.

Those taxpayers can also wait until October to file and pay state taxes, according to the California Franchise Tax Board.

“California is taking action to provide relief to state taxpayers affected by these devastating fires,” Gov. Gavin Newsom said in a Monday news release. “The people in Los Angeles County have experienced unimaginable tragedy, and the state will continue to do everything possible to help these communities.”

Who qualifies for tax relief due to Los Angeles wildfires?

Federal tax relief is available for people in disaster areas designated by the Federal Emergency Management Agency, the IRS said.

That includes those who live or have businesses in the Los Angeles-area communities ravaged by wildfires and straight-line winds.

“Currently, individuals and households that reside or have a business in Los Angeles County qualify for tax relief,” the IRS said in a news release.” The same relief will be available to any other counties added later to the disaster area.

What does California tax disaster relief cover?

Qualifying Los Angeles County residents will be granted a postponement to file California tax returns on 2024 income and make any tax payments that would have been due Jan. 7 through Oct. 15, the state Franchise Tax Board said.

The federal tax relief also postpones various tax filing and payment deadlines that normally occur from Jan. 7 through Oct. 15.

According to the IRS, the Oct. 15 tax deadline now applies to these items:

• Individual income tax returns and payments, normally due on April 15
• 2024 contributions to IRAs and health savings accounts for eligible taxpayers.
• 2024 quarterly estimated income tax payments, normally due on Jan. 15, and estimated tax payments, normally due on April 15, June 16 and Sept. 15
• Quarterly payroll and excise tax returns, normally due on Jan. 31, April 30 and July 31
• Calendar-year partnership and S corporation returns, normally due on March 17
• Calendar-year corporation and fiduciary returns and payments, normally due on April 15
• Calendar-year tax-exempt organization returns, normally due on May 15

How do I apply for wildfire-related tax relief?

The IRS automatically provides filing and penalty relief to any taxpayer located within a declared disaster area.

Those taxpayers do not need to contact the agency to get help, the IRS said on its website.

Wildfire-related tax relief is also available for some taxpayers who do not live in the disaster area but were directly impacted by the Southern California fires, the IRS explained.

That includes workers providing relief for wildfire victims who are affiliated with a recognized government or philanthropic organization.

If you’re a California resident living outside of the disaster who qualifies for wildfire relief, contact the IRS at 866-562-5227.

Can I claim a tax deduction for fire damage?

In response to the wildfires, Newsom proclaimed a state of emergency On Jan. 7 and secured a disaster declaration from President Joe Biden.

Those declarations mean residents and businesses that have been affected by the fires are eligible for tax relief.

Taxpayers affected by “a presidentially declared disaster may claim a deduction for a disaster loss,” state officials said.

This story was originally published January 13, 2025 at 2:52 PM with the headline "California wildfire victims can now wait months to file taxes, IRS says. Here’s who qualifies."