Wildfires Yield Retroactive Tax Relief and ExtendResident’s Filing Deadlines.
Residents in over seven counties throughoutCalifornia, including Los Angeles County, whose properties weredamaged by the 2007 October and November wildfires may be eligiblefor disaster tax relief, and are given an extension for thedeadline to file from the Internal Revenue Service, the CaliforniaFranchise Tax Board and the California State Board ofEqualization.
“I encourage all Santa Clarita residents who werevictim to the fires last October, to explore their options and takeadvantage of the extension and the tax relief that is beingoffered,” explained Mayor Bob Kellar.
Most taxpayers in Los Angeles, Orange, Riverside, San Bernardino,Ventura, Santa Barbara, and San Diego counties are being granted anextension for filing and paying their tax returns for the 2007year. This includes individual tax returns as well as employmenttax returns.
Additionally, the California Board of Equalization announced that aproperty tax relief may be available for those with taxableproperty that has been damaged or destroyed.
Some 2007 losses can even be claimed on amended 2006 tax returns asa result of a special provision of the tax codes thus allowingtaxpayers the option to claim disaster related losses on either the2006 or 2007, federal and state income tax returns.
According to the Franchise Tax Board (FTB Pub. 1034A-11), claimingthe loss on an original or amended return for last year will getthe taxpayer an earlier refund, but waiting to claim the loss onthis year#39;s return could result in a greater tax saving, dependingon other income factors.
Applications for reduced assessment are available from and must befiled with the county assessor. For more information about theavailable tax relief for the California Franchise Tax Board, visitDisaster Loss (FTB Pub. 1034) at www.ftb.ca.gov or call 1-800-338-0505.For information relating to the International Revenue Servicerelief, visit IRS 547, Casualties, Disasters, and Thefts atwww.irs.gov or call1-800-TAX-FORM (1-800-829-3676) and for information relating to theCalifornia State Board of Equalization, visit www.boe.ca.gov orcall 1-800-400-7115.