Additional relief for taxpayers affected by wildfires - Spidell

Additional relief for taxpayers affected by wildfires

The FTB announced additional tax relief for Californians affected by the September wildfires. (FTB News Release (November 5, 2020)) Taxpayers in certain governor-declared disaster areas are granted an extension to January 15, 2021, to file their 2019 California tax returns and make any payments that would have been due between September 4 and January 15.

This extension applies to individuals and businesses Fresno, Los Angeles, Madera, Mendocino, Napa, San Bernardino, San Diego, Shasta, Siskiyou, and Sonoma counties. Any counties added later to the disaster area will be granted the same extension of time to file.

The relief applies to:

  • Individual filers whose previous tax-filing extension was set to end October 15. Because tax payments related to these returns were originally due on July 15, any payments associated with these filings are not eligible for relief;
  • Business entities with a due date between September and January 15; and
  • Quarterly tax payments due September 15.

Taxpayers may claim the disaster loss for the 2020 tax year when they file their return next spring, or they may claim the loss against 2019 income on this year’s return. An amended return may be filed by those who already have filed a 2019 return this year.