On September 23 the IRS issued a statement confirming that it will provide tax relief to the victims of Valley and Butte Fires that raged in California (both fires at this point are nearly 100% contained). The relief applies to the resident and business owners residing in Lake and Calaveras counties.
Details of tax relief
The IRS is providing tax relief in the following ways:
- deadline extension – there are some deadlines that fall after Sept 12, 2015 and before the year end; those include:
- Sept 15, 2015 – estimated tax deadline
- Sept 15, 2015 – 2014 corporate and partnership returns (after being granted an extension)
- Oct 15, 2015 – individual income tax return (after the extension)
- waiver of certain late fees and penalties – penalties for failure-to-deposit employment and excise tax deposits as long as the payments are made by Sept 28, 2015 (for the deposits due after Sept 12, 2015
- information returns – the following forms must be filed on time: W-2, 1098, 1099 series, 1042-S, 8027 – only a reasonable case to provide those documents on time can help waive the penalties
- employment and excise tax deposits – penalties may be lowered if the payments are made on or before September 28
About the fires
Valley and Butte fires, still not fully contained, have been among the most devastating fires in California history.
Individuals who do not reside in covered disaster area, but whose records necessary to make tax payments or file taxes were in the covered disaster area, may qualify for the relief. In order to qualify for a relief, you must call the IRS at 866-562-5227 and request the relief. It will be determined based on the individual cases.