
California Wildfires: Support and Tax Relief for Relocating Employees
As the California wildfires continue to devastate the greater Los Angeles area, Altair Global recognizes the challenges facing both employers and relocating employees. Our mission is to provide unwavering support and ensure that transitions remain as smooth as possible despite unforeseen circumstances.
Tax Relief for Those Affected
In response to the California wildfires, the Internal Revenue Service (IRS) announced on January 10, 2025, several relief measures for impacted taxpayers:
- Extended Deadlines: Taxpayers in Federal Emergency Management Agency (FEMA)-designated disaster areas now have until October 15, 2025 to file federal tax returns and make payments.
- Retirement Contributions: Eligible taxpayers can also make 2024 contributions to IRAs and health savings accounts until the extended deadline.
- Special Disaster Distributions: Affected individuals may be eligible to take retirement plan distributions without facing the 10% early withdrawal penalty, with the option to spread income tax over three years.
- Tax-free Employer Assistance: Employers can provide tax-free aid to employees for necessary personal, family, or living expenses not covered by insurance. These payments are deductible by the employer and free from payroll tax.
Contact your Altair Global representative if you require any assistance with relocating employees affected by these fires. As always, Altair is prepared to navigate these challenges with you and provide the necessary resources and business processes to keep your relocating employees supported and informed. We can:
- Support and offer guidance with the new tax relief measures
- Extend temporary living accommodations
- Adjust move-in timelines to accommodate disruptions
- Offer additional relocation benefits tailored to the situation
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As the California wildfires continue to devastate the greater Los Angeles area, Altair Global recognizes the challenges facing both employers and relocating employees. Our mission is to provide unwavering support and ensure that transitions remain as smooth as possible despite unforeseen circumstances.
Tax Relief for Those Affected
In response to the California wildfires, the Internal Revenue Service (IRS) announced on January 10, 2025, several relief measures for impacted taxpayers:
- Extended Deadlines: Taxpayers in Federal Emergency Management Agency (FEMA)-designated disaster areas now have until October 15, 2025 to file federal tax returns and make payments.
- Retirement Contributions: Eligible taxpayers can also make 2024 contributions to IRAs and health savings accounts until the extended deadline.
- Special Disaster Distributions: Affected individuals may be eligible to take retirement plan distributions without facing the 10% early withdrawal penalty, with the option to spread income tax over three years.
- Tax-free Employer Assistance: Employers can provide tax-free aid to employees for necessary personal, family, or living expenses not covered by insurance. These payments are deductible by the employer and free from payroll tax.
Contact your Altair Global representative if you require any assistance with relocating employees affected by these fires. As always, Altair is prepared to navigate these challenges with you and provide the necessary resources and business processes to keep your relocating employees supported and informed. We can:
- Support and offer guidance with the new tax relief measures
- Extend temporary living accommodations
- Adjust move-in timelines to accommodate disruptions
- Offer additional relocation benefits tailored to the situation