LA Fire Victims Eligible for Tax Relief
Wildfires Yield Retroactive Tax Relief and Extend Resident’s Filing Deadlines
Residents in over seven counties throughout California, including Los Angeles County, whose properties were damaged by the 2007 October and November wildfires may be eligible for disaster tax relief, and are given an extension for the deadline to file from the Internal Revenue Service, the California Franchise Tax Board and the California State Board of Equalization.
“I encourage all Santa Clarita residents who were victim to the fires last October, to explore their options and take advantage of the extension and the tax relief that is being offered,” explained Mayor Bob Kellar.
Most taxpayers in Los Angeles, Orange, Riverside, San Bernardino, Ventura, Santa Barbara, and San Diego counties are being granted an extension for filing and paying their tax returns for the 2007 year. This includes individual tax returns as well as employment tax returns.
Additionally, the California Board of Equalization announced that a property tax relief may be available for those with taxable property that has been damaged or destroyed.
Some 2007 losses can even be claimed on amended 2006 tax returns as a result of a special provision of the tax codes thus allowing taxpayers the option to claim disaster related losses on either the 2006 or 2007, federal and state income tax returns.
According to the Franchise Tax Board (FTB Pub. 1034A-11), claiming the loss on an original or amended return for last year will get the taxpayer an earlier refund, but waiting to claim the loss on this year’s return could result in a greater tax saving, depending on other income factors.
Applications for reduced assessment are available from and must be filed with the county assessor. For more information about the available tax relief for the California Franchise Tax Board, visit Disaster Loss (FTB Pub. 1034) at www.ftb.ca.gov or call 1-800-338-0505.
For information relating to the International Revenue Service relief, visit IRS 547, Casualties, Disasters, and Thefts at www.irs.gov or call 1-800-TAX-FORM (1-800-829-3676) and for information relating to the California State Board of Equalization, visit www.boe.ca.gov or call 1-800-400-7115.
