The California Franchise Tax Board has once again matched the Federal extension, moving the deadline to November 16, 2023 for similar state returns and payments. This decision came after practitioners across the state advocated for the prolongation – a piece of news that would have been well received by CPAs and taxpayers alike, many of whom had been working through the night to have their returns filed by October 16, 2023. They can now breathe a momentary sigh of relief, as the IRS appears to have taken a different stance, essentially stating “Never mind” on the same day, observes the law firm Nossaman LLP.
This is not the first time that the California Franchise Tax Board has chosen to adopt Federal extensions – a move seen by many legal professionals as necessary in coordination and ensuring taxpayers are not caught out by differing state and federal regulations. These adjustments fall in line with Federal and California tax relief policies aimed at helping residents affected by catastrophic storms. The policies are designed to provide breathing room for taxpayers and facilitate recovery following such severe, potentially life-altering events.
As one could expect, CPAs and lawmakers alike will continue to monitor these changes closely. Nevertheless, for now, it seems that the late nights spent filing returns can be put on standby until we approach the new November 16, 2023 deadline.