IRS provides tax relief for taxpayers in California affected by December storms, flooding, mudslides
Taxpayers now have until May 15, 2023, to file various individual and business tax returns and make tax payments.
December storms, flooding, mudslides
The IRS today announced that taxpayers in California affected by the winter storms, flooding, and mudslides beginning December 27, 2022, now have until May 15, 2023, to file various individual and business tax returns and make tax payments.
According to the IRS release—CA-2023-02 (January 24, 2023)—the tax relief is provided after a disaster declaration issued by the Federal Emergency Management Agency (FEMA). The declaration permits the IRS to postpone certain tax-filing and tax-payment deadlines for taxpayers who reside or have a business in the disaster area.
Individuals and households affected by severe winter storms, flooding, and mudslides that reside or have a business in Calaveras, Merced, Monterey, Sacramento, San Joaquin, San Luis Obispo, Santa Barbara, and Santa Cruz counties qualify for relief.
The following deadlines falling on or after December 27, 2022, and before May 15, 2023, are granted additional time to file through May 15, 2023:
- 2022 individual income tax returns due on April 18
- Various 2022 business returns normally due on March 15 and April 18 (this means that eligible taxpayers will have until May 15 to make 2022 contributions to their IRAs and health savings accounts)
- 2022 returns and any tax due for farmers who choose to forgo making estimated tax payments and normally file their returns by March 1, 2023
- Quarterly estimated tax payments normally due on January 17, 2023, and April 18, 2023 (this means that individual taxpayers can skip making the fourth quarter estimated tax payment, normally due January 17, 2023, and instead include it with the 2022 return they file, on or before May 15)Quarterly payroll and excise tax returns normally due on January 31, 2023, and April 30, 2023
In addition, penalties on payroll and excise tax deposits due on or after December 27, 2022, and before January 11, 2023, will be abated as long as the tax deposits were made by January 11, 2023.
If an affected taxpayer receives a late-filing or late-payment penalty notice from the IRS but has an original or extended filing, payment or deposit due date that falls within the postponement period, the taxpayer is directed to call the telephone number on the notice to have the IRS abate the penalty.
Affected taxpayers who reside or have a business located outside the covered disaster area can call the IRS disaster hotline to request the tax relief.
The IRS on January 10, 2023, announced tax relief for taxpayers in California affected by January 2023 storms. Read TaxNewsFlash
The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 3712, 1801 K Street NW, Washington, DC 20006.