IRS Announces Tax Relief For Wildfire Victims in Parts of Washington

By Tammy Ayer
Yakima Herald-Republic, Wash.
(TNS)

Oct. 4—Federal officials have announced tax relief for people and businesses in the Yakama Nation affected by summer wildfires that began June 22.

Taxpayers now have until Feb. 3, 2025, to file various federal individual and business tax returns and make tax payments, according to a news release from the IRS. It includes those impacted by the Slide Ranch fire, which began June 22 about 4 miles south of White Swan on the Yakama Nation reservation.

Residents had to flee quickly after the fire started near Mission, Signal Peak and Pom Pom roads and was pushed by high winds. Fire managers said 16 homes were lost. The cause of the fire hasn’t been released publicly.

The IRS announcement follows the disaster declaration issued by the Federal Emergency Management Agency in late September. FEMA said then that federal disaster assistance is available to the Yakama Nation to supplement recovery efforts in the areas affected by wildfires from June 22 through July 8.

That assistance can include grants for temporary housing and home repairs, low-cost loans to cover uninsured property losses and other programs to help individuals and business owners recover from the effects of the disaster, officials said. Federal funding is also available to the tribe on a cost-sharing basis for emergency work and the repair or replacement of facilities damaged by wildfires.

The disaster permits the IRS to postpone certain tax filing and payment deadlines for taxpayers who reside or have a business in the disaster area, according to a news release.

The Feb. 3 filing deadline applies to:

Individuals who had a valid extension to file their 2023 return due to run out Oct. 15. The IRS noted, however, that because tax payments related to these 2023 returns were due April 15, 2024, those payments are not eligible for this relief.
Businesses with an original or extended due date including, among others, calendar-year partnerships and S corporations whose 2023 extensions ran out Sept. 16, 2024, and calendar-year corporations whose 2023 extensions run out Oct. 15.
Calendar-year corporations whose 2023 extensions run out on Oct. 15.

The Feb. 3 deadline also applies to any payment normally due during this period, including the quarterly estimated tax payments due June 17, Sept. 16, and Jan. 15, 2025. The Feb. 3 deadline also applies to the quarterly payroll and excise tax returns normally due on July 31, Oct. 31 and Jan. 31, 2025.

In addition, penalties on payroll and excise tax deposits due on or after June 22 and before July 8 will be abated as long as the tax deposits are made by July 8.

If an affected taxpayer receives a late filing or late payment penalty notice from the IRS that has an original filing, payment or deposit due date that falls within the postponement period, the taxpayer should call the telephone number on the notice to have the IRS abate the penalty, the news release said.

The IRS automatically identifies taxpayers located in the covered disaster area and applies filing and payment relief. But affected taxpayers who reside or have a business located outside the covered disaster area should call the IRS disaster hotline at 866-562-5227 to request tax relief.

Tax preparers located in the disaster area with clients outside the disaster area can choose to use the Bulk requests from practitioners for disaster relief option, described on IRS.gov.

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