CA Tax Filing Season Opens
The FTB is now accepting 2018 state tax returns. In a January 22 press release, FTB encouraged taxpayers to discuss individual tax situations with a professional tax preparer to help understand the impact of federal tax law changes and relief after natural disasters.
The press release also called attention to the following:
Federal Tax Law Changes
State Tax Deduction for Losses from a Disaster
- TCJA tax reforms will not affect how much Californians pay in state income tax for 2018 or the deductions that can be claimed on a state tax return.
- Taxpayers who take advantage of the new, higher standard deduction on their federal return will still be able to claim itemized deductions on their state return.
Expanded California Earned Income Credit (CalEITC)
- Disaster loss rules apply to victims in governor-declared or presidentially-declared disaster areas.
- Taxpayers may claim a disaster loss in one of two ways: in the tax year that the disaster occurred, when filing a 2018 tax return this year; or in the tax year before the disaster occurred, by filing either an amended or original 2017 tax return.
- FTB can more quickly issue a refund for eligible losses claimed in the prior tax year.
- FTB will provide replacement state tax documents for free upon request for those who lost them as a result of a disaster.
- CalEITC is now available to those age 18 and over as long as they meet income limits and other requirements.
- Families earning $24,950 or less may be eligible for the credit if they have qualifying children.
- People earning $16,750 or less may be eligible if they do not have children.
- Walk-in service is available at five regional FTB field offices, in Los Angeles, Oakland, Sacramento, San Diego, and Santa Ana.