IRS Extends Filing For California Wildfire Counties

Monday, October 29th 2007, 3:18 pm
By: News On 6

WASHINGTON (AP) _ The Internal Revenue Service on Monday gave residents of California counties hit by wildfires extra time to file tax returns.

The tax agency said those affected by the fires will have until January 31, 2008, to file returns and pay taxes on items due on or after October 21, when the fires began. Those items include the federal withholding tax return, Form 941, normally due October 31, and the estimated tax payment for the fourth quarter, normally due January 15.

Taxpayers in seven counties covered by a presidential disaster declaration are eligible for the delay. They are Los Angeles, Orange, Riverside, San Bernardino, San Diego, Santa Barbara and Ventura counties

Certain penalty deposits due between October 21 and November 5 will also be waived as long as the deposits are made by November 5.

``As California taxpayers start the recovery process, the last thing they should worry about is meeting a tax deadline,'' said acting IRS commissioner Linda Stiff.

The IRS said its computers identify taxpayers located in the covered disaster area and apply automatic filing and payment relief.

It said that taxpayers in the disaster area also have the option of claiming disaster-related casualty losses on their federal income tax return for either this year or last year.