California Tax Day Extension: Who Qualifies?
California residents in designated disaster areas may have automatic federal and state tax relief, postponing both filing and payment deadlines.
Following federally declared disasters, California taxpayers in affected areas have been granted extensions for filing various tax returns and making payments. This relief, provided by the Internal Revenue Service (IRS) and mirrored by state tax agencies, assists individuals and businesses impacted by events like wildfires and straight-line winds. The postponements apply to a range of tax obligations.
Eligibility for the Tax Extension
Tax relief is available to individuals and businesses located in areas designated as disaster zones by the Federal Emergency Management Agency (FEMA). For the wildfires and straight-line winds beginning January 7, 2025, this includes Los Angeles County. Any taxpayer who resides or has a principal place of business within this county qualifies for the tax filing and payment extensions.
The relief is not limited to those who live or work in the disaster area. Eligibility extends to taxpayers whose necessary records for tax preparation are located within the affected county. This also includes individuals whose tax professional is located in the disaster area. Relief workers affiliated with a recognized government or philanthropic organization assisting in the disaster area are also eligible.
Covered Tax Deadlines and Payments
The relief postpones various tax filing and payment deadlines. For the disaster beginning January 7, 2025, affected taxpayers have until October 15, 2025, to file returns and pay taxes that were originally due within the postponement period. This extension applies to both filing forms and remitting tax owed.
IRS
For federal purposes, the October 15, 2025, deadline applies to several obligations. This includes 2024 individual income tax returns and the associated tax payments. It also covers 2024 contributions to IRAs and health savings accounts. The extension applies to quarterly estimated tax payments due between January 7, 2025, and October 15, 2025, as well as business returns with due dates in the disaster period.
FTB
California’s Franchise Tax Board (FTB) conforms to the IRS disaster extension periods for individuals and businesses. State income tax returns and payments for individuals, corporations, and other business entities originally due after the disaster began are now also due on the new extended federal deadline. This alignment simplifies the process for taxpayers.
CDTFA
The California Department of Tax and Fee Administration (CDTFA) offers relief for sales, use, and excise taxes. Affected businesses can request an extension of up to three months for filing and paying these taxes. Unlike the automatic IRS and FTB extensions, taxpayers must request this relief from the CDTFA, which can be done through its online services portal.
EDD
The Employment Development Department (EDD) provides assistance for employers impacted by disasters. Employers may request an extension of up to 60 days to file state payroll reports and deposit state payroll taxes without penalty or interest. This includes quarterly contribution returns and payroll tax deposits. Similar to CDTFA relief, this extension is not automatic and must be requested.
How the Extension Works
For federal and state income taxes, the extension is automatic for any taxpayer with an IRS and FTB address of record within the FEMA-designated disaster area. No special forms or phone calls are needed to receive the postponement. The tax agencies automatically identify eligible taxpayers based on their registered address and apply the extension.
Taxpayers who qualify for relief but live outside the designated disaster area, such as those whose tax preparer or records are in the affected zone, may need to take action. If they receive a late filing or late payment penalty notice, they should call the telephone number on the notice to have the penalty abated.
When filing a paper return, taxpayers eligible for the postponement should write the FEMA declaration number on the top of the form. For this event, the number is 4856-DR. This marking helps the tax agency correctly apply the disaster relief provisions.