Individuals and businesses in Louisiana affected by Tropical Storm Francine and those in New York and Connecticut affected by recent severe storms and flooding can apply to the IRS for tax relief.
Francine hit Louisiana on Sept. 10, and the storms in New York and Connecticut began Aug. 18. Some communities in western Connecticut experienced landslides and mudslides from the torrential rains, the IRS said in a news release.
The IRS offers relief to areas designated by the Federal Emergency Management Agency. In the case of Francine, individuals and households who live anywhere in Louisiana or have a business there qualify for tax relief. A list of eligible locations can be found on the Tax relief in disaster situations page on IRS.gov. Taxpayers affected by these events have until Feb. 3 to file various federal individual and business tax returns and make tax payments.
Filing and Payment Relief
The tax relief will postpone various tax filing and payment deadlines that occurred during a postponement period from Sept. 10 through Feb. 3. Individuals and businesses that are affected have until Feb. 3 to file returns and pay taxes originally due during this period.
Individuals, businesses or tax-exempt organizations that have a valid extension to file their 2023 federal return. However, payments on these returns are not eligible for the extra time because they were due last spring before the storm occurred.
Quarterly estimated income tax payments that are usually due on Sept. 16 and Jan. 15.
Quarterly payroll and excise tax returns normally due on Oct. 31 and Jan. 31.
Penalties for failure to make payroll and excise tax deposits due on or after Sept. 10 and before Sept. 25 will be abated if the deposits are made by Sept. 25.
Any taxpayer with an IRS address of record located in the disaster area automatically receives the filing and penalty relief. They do not have to contact the agency to get it. The IRS says it will work with taxpayers who live outside the disaster area but whose records necessary to meet a deadline occurring during the postponement period are in the affected area. Taxpayers qualifying for relief who live outside the disaster area need to contact the IRS at 866-562-5227. Tax preparers located in the disaster area with clients located outside the disaster area can choose to use the bulk requests from practitioners for disaster relief option, described on IRS.gov.
Additional Tax Relief
Individuals and businesses in a disaster area that suffered uninsured or unreimbursed disaster-related losses can claim them on either the return for the year the loss occurred, or the return for the prior year. Taxpayers have up to six months after the due date of the taxpayer’s federal income tax return for the disaster year to make the election. For individual taxpayers, this means Oct. 15, 2025. Those affected by Francine should write the FEMA declaration number 3614-EM on any return claiming a loss. The FEMA declaration number for Connecticut is 3612-EM, and the number for New York is 3613-EM . See Publication 547, Casualties, Disasters, and Thefts for details.
Individuals and businesses in a federally declared disaster area who suffered uninsured or unreimbursed disaster-related losses can choose to claim them on either the return for the year the loss occurred (in this instance, the 2024 return normally filed next year), or the return for the prior year (the 2023 return filed this year). Taxpayers have extra time – up to six months after the due date of the taxpayer’s federal income tax return for the disaster year (without regard to any extension of time to file) – to make the election. For individual taxpayers, this means Oct. 15, 2025. Be sure to write the FEMA declaration number 3612-EM for Connecticut and 3613-EM for New York on any return claiming a loss. See Publication 547, Casualties, Disasters, and Thefts for details.
Qualified disaster relief payments are in general excluded from gross income. This means that affected taxpayers can exclude from their gross income amounts received from a government agency for reasonable and necessary personal, family, living or funeral expenses, as well as for the repair or rehabilitation of their home, or for the repair or replacement of its contents. See Publication 525, Taxable and Nontaxable Income for details.
Affected taxpayers who participate in a retirement plan or individual retirement arrangement may be eligible for additional relief. For example, a special disaster distribution may be taken that would not be subject to the additional 10% early distribution tax and would allow the taxpayer to spread the income over three years. Taxpayers may also be permitted to make a hardship withdrawal. Each IRA or plan has specific rules and guidance for its participants.
The IRS may provide additional disaster relief in the future.
