Tax Relief Available For Floridians In Disaster Areas
Release Date: September 22, 2008
Release Number: 1785-048
» More Information on Florida Tropical Storm Fay
ORLANDO, Fla. -- Floridians in disaster-declared counties affected by Tropical Storm Fay may be eligible for various forms of tax relief that could ease the distress of some losses.
Following severe storms and flooding on Aug. 18, Baker, Brevard, Collier, Duval, Glades, Hendry, Jefferson, Lake, Lee, Leon, Marion, Nassau, Okeechobee, Orange, Polk, St. Lucie, Seminole, Volusia and Wakulla counties were designated as presidential disaster areas that qualify for Individual Assistance. As a result, the U.S. Internal Revenue Service (IRS) is postponing until Nov. 17 certain deadlines for taxpayers who reside or have a business in the disaster areas. The postponement applies to return filing, tax payment and certain other time-sensitive acts otherwise due between Aug. 18, 2008 and Nov. 17, 2008.
In addition, the IRS will waive the "failure to deposit" penalties for employment and excise deposits due on or after Aug. 18 and on or before Sept. 2, as long as the deposits were made by Sept. 2. Disaster assistance grants received by applicants are not subject to income taxation and have no bearing on a person's Social Security or welfare benefits.
Taxpayers may also qualify to receive refunds from their 2007 taxes because of deductible disaster-related losses from this presidentially declared disaster. It is important to save all receipts related to disaster expenses. Details can be found on the IRS Web site, www.IRS.gov by launching a search for "Florida Tropical Storm Fay" or by calling the agency's disaster helpline, 800-TAX-FORM (1-800-829-3676) to order a copy of appropriate instructions.
Casualty losses for tax purposes generally are based on the decrease in fair market value of the property as a result of the disaster minus any insurance payments or other reimbursements received. The IRS will ask for the latest tax return, estimates of repairs, before and after photographs, appraisals or any other loss documentation.
Property owners affected by the disaster should also check with their local property appraiser about the possibility of claiming a reduction in the taxable value of property destroyed or damaged as a result of the disaster.
FEMA coordinates the federal government's role in preparing for, preventing, mitigating the effects of, responding to, and recovering from all domestic disasters, whether natural or man-made, including acts of terror.
Disaster recovery assistance is available without regard to race, color, religion, nationality, sex, age, disability, English proficiency or economic status. If you or someone you know has been discriminated against, call FEMA toll-free at 800-621-FEMA (3362). For TTY call 800-462-7585.
For statewide disaster information and to find out how you can Get A Plan! for disasters, please visit www.FloridaDisaster.org
Last Modified: Monday, 22-Sep-2008 09:57:50