Tax Relief for San Diego County, CA
In a recent announcement, the Internal Revenue Service (IRS) has extended tax relief to individuals and businesses in parts of California grappling with the aftermath of severe storms and flooding that began on Jan. 21. The relief measures, effective immediately, offer taxpayers in the designated disaster area, which currently includes San Diego County, an extended deadline until June 17, 2024, to file various federal individual and business tax returns, as well as make corresponding tax payments.
Who Qualifies?
This relief initiative applies to any area designated by the Federal Emergency Management Agency (FEMA), and additional California localities may be added to the list in the future. The updated list of eligible areas is accessible on the disaster relief page on IRS.gov.
The extended deadline encompasses various tax filing and payment obligations that were originally due between Jan. 21, 2024, and June 17, 2024. Affected individuals and businesses can now file returns and make payments until the revised deadline.
What's Included?
individual income tax returns
contributions to IRAs and health savings accounts
estimated tax payments
quarterly payroll and excise tax returns
various other tax-related actions
The relief package also includes the abatement of penalties for failing to make payroll and excise tax deposits between Jan. 21, 2024, and Feb. 5, 2024, as long as the deposits were made by Feb. 5, 2024.
How to Apply
Taxpayers in the disaster area with an IRS address of record will automatically receive filing and penalty relief, without the need to contact the IRS. However, individuals who moved to the disaster area after filing their return and receive a penalty notice should call the number on the notice to have the penalty abated.
For those living outside the disaster area but with records necessary to meet a deadline located in the affected area, the IRS encourages contact at 866-562-5227 for assistance.
The IRS also urges those requiring additional tax-filing extensions beyond June 17, 2024, to request it electronically by April 15, 2024. Although a disaster-area taxpayer qualifies to request an extension between April 15, 2024, and June 17, 2024, requests filed during this period can only be submitted on paper. Payments, however, are still due on June 17, 2024.
What Else is Included?
In addition to the announced relief, individuals and businesses who suffered uninsured or unreimbursed disaster-related losses can choose to claim them on either the 2024 return or the prior year's return (2023). This election can be made up to six months after the due date of the taxpayer’s federal income tax return for the disaster year.
Qualified disaster relief payments are typically excluded from gross income, providing affected taxpayers with financial assistance for various personal, family, living, or funeral expenses, as well as home repair or rehabilitation.
More Information
The IRS is also exploring the possibility of providing additional disaster relief in the future. For comprehensive details on disaster recovery, taxpayers can visit DisasterAssistance.gov. Stay tuned for updates on this coordinated federal response to the damage caused by the storms in California.
Disclaimer: This article is for informational and educational purposes only and does not constitute legal tax advice. Advanced Tax Solutions is not liable or responsible for any damages resulting from or related to your use of this information. It is your responsibility to refer to official IRS documentation for information regarding any tax laws or tax information shown here.
