October 7, 2022

California Franchise Tax Board Extends Tax Deadline to Hurricane Ian Victims

By Christian Burgos, National Co-Leader, State & Local Tax

California Franchise Tax Board Extends Tax Deadline to Hurricane Ian Victims State & Local Tax

On October 5, 2022, the California Franchise Tax Board (“FTB”) announced special state tax relief for individual and business taxpayers affected by Hurricane Ian. (FTB News Release (October 5, 2022)).

Individuals and businesses in presidentially declared disaster areas are granted an extension until February 15, 2023, to file California tax returns on 2021 income and make any tax payments that would have been due between September 23, 2022, and February 15, 2023.

Affected taxpayers who would have had an October 17, 2022, tax filing deadline now have until February 15, 2023, to file. However, tax year 2021 tax payments originally due on April 18, 2022, are not eligible for the extension.

On September 29, 2022, the IRS announced that taxpayers affected by Hurricane Ian in Florida have an extension to file various individual and business tax returns, and make tax payments, until February 15, 2023. (IRS FL-2022-19). The California FTB automatically conforms to IRS postponement periods for presidentially declared disasters.

Taxpayers are instructed to “write the name of the disaster (e.g., “Hurricane Ian”) in blue or black ink at the top of their tax return to alert FTB.” For electronically filed returns, taxpayers should follow the software instructions to enter disaster information: “If an affected taxpayer receives a late filing or late payment penalty notice related to the postponement period, the taxpayer should call the number on the notice to have the penalty abated.”

For additional information regarding extended deadlines and relief granted by the IRS due to Hurricane Ian, please contact your Marcum tax professional.