The members of the North Bay Enrolled Agents and the members of CSEA mourn with our neighbors the losses incurred with the California wildfires. We can’t turn back time but what we can do is bring you the latest tax information available on dealing with this loss. We will be adding information on how to deal with the requirements for reporting this loss as well as any relevant information we find to help you through this period. We will provide links to additional resources that may be appropriate and the members of CSEA will be available at no charge to provide you with guidance.
Latest Tax Information for Victims of California Disasters
The IRS announced on Friday that victims of the California wildfires that began on September 4th may receive tax relief from the IRS. Note this is separate relief from that provided for the August wildfires.
Individuals and households who reside or have a business in Fresno, Los Angeles, Madera, Mendocino, Napa, San Bernardino, San Diego, Shasta, Siskiyou, and Sonoma counties qualify for tax relief. but taxpayers in localities added later to the disaster area will automatically receive the same filing and payment relief.
The tax relief postpones filing and paying deadlines for taxpayers who reside in or have a business in the disaster area. Certain deadlines falling on or after September 4, 2020, and before January 15, 2021, are granted additional time to file through January 15, 2021. This includes individuals and businesses who had a valid extension due to run out on October 15, 2020.
The January 15, 2021 deadline also applies to quarterly estimated income tax payments due on September 15, 2020, and the quarterly payroll and excise tax returns normally due on November 2, 2020, it applies to tax-exempt organizations, operating on a calendar-year basis, that had a valid extension due to run out on November 16, 2020, and penalties on payroll and excise tax deposits due on or after September 4, 2020, and before September 21, 2020, will be abated as long as the tax deposits were made by September 21, 2020.
California automatically conforms to Federal Disaster Declarations and the FTB announced its own tax relief on November 5th.
Further, a presidential disaster declaration allows a taxpayer to take a Casualty Loss on their tax return. You are able to take it on the 2020 tax return or amend 2019 to take it. See our earlier articles to get more information on taking the casualty loss deduction.
The IRS announced that Trinity County has been added to the list of counties under the Federal Disaster Declaration for the August 2020 fires. Following the recent disaster declaration for individual assistance issued by the Federal Emergency Management Agency, the...
The IRS announced that Lassen and Tulare Counties have been added to the list of counties under the Federal Disaster Declaration for the August 2020 fires. Following the recent disaster declaration for individual assistance issued by the Federal Emergency Management...
General Disaster Tax Relief Information
IRS Disaster Resource Guide for Individuals and Business – This resource guide provides information to individuals and businesses affected by a federally declared disasters.
Casualty Losses for Tax Years 2018 through 2025 (No easy to read guidance has been published yet. This is a link to the code section. Sec. 165(h)(5) was added as part of the Tax Cuts and Jobs Act limiting personal casualty losses unless taxpayer is in a Federally Declared Disaster).
Franchise Tax Board
California Department of Tax and Fee Administration (formerly the SBOE)
Flyer to provide at meetings, info sessions and shelters
Property Tax Reassessments
- Butte County
- Lake County
- Los Angeles County
- Mendocino County
- Napa County
- Nevada County
- Orange County
- San Diego County
- San Mateo County
- Santa Barbara County
- Santa Clara County
- Santa Cruz County
- Shasta County
- Solano County
- Sonoma County
- Trinity County
- Ventura County
- Yuba County
- Yolo County
Employment Development Department (EDD)
Federal Disaster Assistance Resources
Federal Disaster Assistance – The Disaster Assistance Improvement Program’s (DAIP) mission is to provide disaster survivors with information, support, services, and a means to access and apply for disaster assistance through joint data-sharing efforts between federal, tribal, state, local, and private sector partners
North Bay Enrolled Agents (NBEA)
Enrolled Agents (EAs) are federally-licensed tax practitioners who may represent taxpayers before the IRS when it comes to collections, audits and appeals. As authorized by the Department of Treasury’s Circular 230 regulations, EAs are granted unlimited practice rights to represent taxpayers before IRS and are authorized to advise, represent, and prepare tax returns for individuals, partnerships, corporations, estates, trusts, and any entities with tax-reporting requirements. Enrolled agents are the only federally-licensed tax practitioners who specialize in taxation and have unlimited rights to represent taxpayers before the IRS. The enrolled agent profession dates back to 1884 when, after questionable claims had been presented for Civil War losses, Congress acted to regulate persons who represented citizens in their dealings with the U.S. Treasury Department. Enrolled agents’ expertise in the continually changing field of taxation enables them to effectively represent taxpayers at all administrative levels within the IRS.
NBEA is the North Bay Chapter of the California Society of Enrolled Agents.