Tax Relief in Disaster Situations

Special tax law provisions may help taxpayers recover financially from the impact of a disaster, especially when the President declares their location to be a major disaster area. Depending on the circumstances, the IRS may grant additional time to file returns and pay taxes. Both individuals and businesses in a presidentially-declared disaster area can get a faster refund by claiming losses related to the disaster on the tax return for the previous year, usually by filing an amended return.