California extends tax relief to LA fire victims

Benjamin Fanjoy/Bloomberg

The California Franchise Tax Board is offering taxpayers in fire-stricken Los Angeles County a postponement on filing 2024 returns and making tax payments, mirroring recent relief from the IRS.

Taxpayers in L.A. County will be granted a postponement until Oct. 15 to file California returns on 2024 income and make any tax payments that would have been due Jan. 7 through Oct. 15 of this year.

The postponement includes the following returns and payments due this year:

• Individuals whose returns and payments are normally due on April 15.
• Quarterly estimated tax payments normally due on Jan. 15, April 15, June 15 and Sept. 15.
• Business entities whose corporate or pass-through entity returns are normally due on March 15 and April 15.
• PTE elective tax payments normally due on March 15 and June 15.
• Tax-exempt organization returns normally due on May 15.

Last week, Gov. Gavin Newsom proclaimed a state of emergency and secured a major disaster declaration from President Biden in response to the recent wildfires. Taxpayers affected by a presidentially declared disaster may claim a deduction for a disaster loss. The advantage of claiming the disaster loss on a 2024 return is that the FTB can issue a refund sooner.