WHO CAN GET RELIEF
If you live or work in the disaster area you are eligible for this tax relief, you do not have to be a victim of a flood or mudslide. Individuals who can receive this relief are:
- Principal residence in the disaster area
- Business principal place of business in the disaster area
- Relief worker with recognized organization in the disaster area
- Records are located in the disaster area
- Individual visiting the disaster area who was killed or injured due to the disaster
- Spouse of an affected tax payer
COUNTIES THAT QUALIFY
Here is the list of counties that qualify as disaster areas as of the publish date of this article: Alameda, Colusa, Contra Costa, El Dorado, Fresno, Glenn, Humboldt, Kings, Lake, Los Angeles, Madera, Marin, Mariposa, Mendocino, Merced, Mono, Monterey, Napa, Orange, Placer, Riverside, Sacramento, San Benito, San Bernardino, San Diego, San Francisco, San Joaquin, San Luis Obispo, San Mateo, Santa Barbara, Santa Clara, Santa Cruz, Solano, Sonoma, Stanislaus, Sutter, Tehama, Tulare, Ventura, Yolo and Yuba.
WHAT IS THE RELIEF
The tax relief available is, any of these actions below that were due on or after January 8, 2023 are now postponed to May 15, 2023. This includes
- Filing of Income Tax and Payroll Tax returns (Form 1040, 1041, 1120, 1120S, 1065, 706, 990, 940, 941)
- Any estimated tax payments that were due in that period (this includes 2022 Q4 and 2023 Q1 estimates for calendar year taxpayers)
- IRA and HSA contributions
- Claims for refund
- Hundreds of other actions: To see the complete list of actions that are postponed, see Treas Reg 301.7508A-1(c)(1) and Rev Proc 2018-58
- Tax relief does not postpone the due date for W2s and 1099.
SHOULD I WAIT?
Keep in mind that just because the government has given you more time does not mean that your tax preparer or the brokers who accept IRA and HSA payments can handle the postponement. Many tax preparers already have other work scheduled after 4/18 and most software is coded for a 4/18 deadline so there can be administrative issues with trying to do things after the original due date. So be sure to check with the professionals who support you if you need more time to file/pay.