Tax Extension for California Residents Impacted by Storms
Following recent storms throughout California, the IRS issued a disaster relief notice that provides certain state residents an extension to file tax returns for 2022. This recent announcement allows individuals and households that reside or own businesses in areas affected by winter storms, flooding, and landslides – including San Diego, Sacramento, San Francisco, San Bernadino, Riverside, Los Angeles, and Orange Counties – until May 15, 2023 to file various federal, individual, and business tax returns.
This extension, which was designated by the Federal Emergency Management Agency (FEMA), postpones a multitude of tax deadlines for filing and payments, beginning January 8, 2023. This includes individual and business tax returns previously due April 18th and business tax returns previously due March 18th. The new May 15th deadline also encompasses quarterly payroll and excise tax returns typically due on January 31, 2023. (However, payroll and excise tax deposits due on January 8 are not included in these extensions. These payments must still be made by January 23 to avoid penalty.) Additionally, this means that eligible taxpayers also have until May 15, 2023 to make contributions for 2022 toward their IRAs and health savings accounts.
If the address you have on file with the IRS is located within the list of disaster areas, no notification is necessary to take advantage of the extension.
The IRS has also announced that it will work with anyone who may live outside these areas but whose tax documents may be located within the disaster-stricken areas.
For more information, including a full list of locations eligible for this extension, please visit the Disaster Assistance and Emergency Relief for Individuals and Businesses page on the IRS website. The PBO Advisory team is also available to help clarify tax-related protocols.
Scott Palka, CPA, MBA, CFA
Consulting CFO & Member
scott@pboadvisory.com
(858) 935-4847