California Governor Newsom announced that the California Franchise Tax Board (FTB) will provide state disaster tax relief for taxpayers and businesses affected by the recent wildfires in Los Angeles on 11 January 2025.

“California is taking action to provide relief to state taxpayers affected by these devastating fires. The people in Los Angeles County have experienced unimaginable tragedy, and the state will continue to do everything possible to help these communities,” said Gavin Newsom.

Taxpayers in Los Angeles County will be granted a postponement to 15 October 2025, to file California tax returns on 2024 income and make any tax payments that would have been due 7 January 2025, through 15 October 2025. This aligns with the federal extension recently granted to California’s wildfire victims.

“Our state faces one of the most devastating fires in recent history, which has taken lives, displaced thousands of families, and left entire communities in ruins,” said State Controller and FTB Chair Malia M. Cohen. “My heart goes out to everyone affected – please know that you are not alone. I am committed to ensuring that Californians have the help they need during this incredibly difficult time through disaster relief resources that are available through FTB.”

The postponement includes the following:

  • Individuals whose tax returns and payments are normally due on 15 April 2025.
  • Quarterly estimated tax payments normally due on 15 January, 15 April, 15 June, and 15 September 2025.
  • Business entities whose corporate or pass-through entity tax returns are normally due on 15 March and 15 April 2025.
  • Pass-through entity (PTE) elective tax payments normally due on 15 March and 15 June 2025.
  • Tax-exempt organisation returns normally due on 15 May 2025.

Earlier this week, Governor Newsom proclaimed a state of emergency and secured a Major Disaster Declaration from President Joe Biden in response to the recent wildfires. These declarations mean residents and businesses in areas of California that have been affected by the fires are eligible for tax relief.

Taxpayers affected by a presidentially declared disaster may claim a deduction for a disaster loss. The advantage of claiming the disaster loss on a tax year 2024 return is that FTB can issue a refund sooner.