California Wildfire Tax Relief: Extended Deadlines for Businesses in LA County

Natural disasters such as floods, earthquakes, or wildfires make it harder for people and businesses to focus on and comply with tax and other rules and requirements. In response to those circumstances, national and local governments usually decide to provide tax reliefs to individuals or businesses and help them avoid penalties.

Following this logic, the California Department of Tax and Fee Administration (CDTFA) announced it would extend the tax filing and payment deadlines for taxable persons within Los Angeles County by three months.

The Extended Deadlines

Taxable persons registered in Los Angeles County have until October 15, 2025 to file California tax returns on their income generated in 2024, and make payments accordingly. The due date for filing tax returns and paying corresponding taxes is typically January 7. 

Furthermore, the CDTFA extended the filing and payment deadlines for return and payments due on January 31, 2025, to April 2025 for Los Angeles County taxable persons whose last return was below USD 1 million in tax. Besides having additional time to file tax returns and pay due taxes, taxable persons are also granted reliefs from interest and penalties.

If the taxable persons lost their record due to wildfire, they can obtain copies free of charge from the CDTFA, including a copy of a seller’s permit or CDTFA-issued license.

Conclusion

The tax relief measures adopted by the CDTFA are significant for all taxable persons, as they have more time to ensure tax compliance. Additionally, the Internal Revenue Service (IRS) approved additional tax relief measures for those hit by the California wildfires, such as relief payments being excluded from gross income or the possibility of claiming uninsured or unreimbursed disaster-related losses on their tax returns.

It should be noted that these might not be the only relief measures, and more could be granted by either the CDTFA or the IRS. Therefore, all taxable persons in California regions hit by wildfires should monitor for any additional measures approved by state or federal governing bodies.

Source: Governor Gavin Newsom, IRS