Franchise Tax Board (Personal Income Tax and Corporation Tax)
The Franchise Tax Board (FTB) today announced special tax relief for taxpayers affected by the Governor-declared state of emergency for the Saddleridge, Sandalwood, Eagle, Reche, and Wolf wildfires that began in October 2019. These taxpayers are granted an extension to file 2018 California tax returns until November 15, 2019.
Details of the relief:
- The relief applies to affected individuals and businesses in Los Angeles County and Riverside County.
- This applies to the October 15, 2019 extended tax filing deadline for tax year 2018 California state tax returns.
- The FTB will cancel interest and any late filing or late payment penalties that would otherwise apply.
- Taxpayers filing their returns late or claiming the disaster loss should write the name of the disaster in ink (for example, Saddleridge Fire) at the top of the tax return to alert FTB to expedite the refund. If taxpayers are e-filing, they should follow the software instructions to enter disaster information.
California Revenue and Taxation Code section 18572(b) allows FTB to postpone certain tax-related deadlines for a state of emergency declared by the Governor. Disaster loss rules apply to victims in Governor-declared or presidentially-declared disaster areas. Taxpayers may claim a disaster loss in one of two ways: In the tax year that the disaster occurred, when filing a 2018 tax return this fall; or in the tax year before the disaster occurred by filing either an amended or original 2017 tax return. FTB can more quickly issue a refund for eligible claimed losses in the prior tax year.
Taxpayers filing their returns late or claiming the disaster loss should write the name of the disaster in ink (for example, Saddleridge Fire) at the top of the tax return to alert FTB to expedite the refund. If taxpayers are e-filing, they should follow the software instructions to enter disaster information.
EDD (State Payroll Tax, Unemployment Benefits)
EDD announced that for taxpayers impacted by these filed the waiting week for unemployment benefits claimed between 10/10/19 and 4/10/20 is waived and employers have a 60-day extension to file and pay payroll taxes.
CDTFA (Sales Tax, Excise Tax, Use Tax)
The CDTFA has added Los Angeles and Riverside counties to its list of emergencies that are eligible for filing, penalty, and interest relief.