On August 31, 2026, the IRS announced in WA-2026-03 tax relief for eligible individuals and businesses affected by wildfires in Washington that began on July 31, 2026.
Who Qualifies
The relief applies to individuals and households that reside in, or have a business in, Chelan, Ferry, Okanogan, Spokane, Stevens, and Yakima Counties. Businesses qualify when their principal place of business is in the covered area. The relief also covers eligible residents and businesses within the Confederated Tribes and Bands of the Yakama Nation, the Confederated Tribes of the Colville Reservation, and the Spokane Tribe of Indians.
The IRS bases this relief on a federal disaster declaration. The agency generally identifies eligible taxpayers from their IRS address of record, and it states that additional areas may be added later if FEMA expands the disaster area.
Which Deadlines Are Postponed
Eligible taxpayers generally have until February 1, 2027, to file certain federal returns and make certain tax payments that were originally due on or after July 31, 2026, and before February 1, 2027.
The postponed deadline includes 2025 individual income tax returns for taxpayers who had a valid filing extension. However, tax payments associated with those returns were due on April 15, 2026, so those payments are not covered by this disaster relief.
The relief also applies to certain quarterly payroll and excise tax returns normally due July 31 and November 2, 2026. Employment and excise tax deposits are generally not postponed to February 1, 2027. Penalties on deposits due on or after July 31 and before August 17, 2026, are abated only when the deposits were made by August 17, 2026.
Relief Is Generally Automatic
The IRS says it automatically provides filing and penalty relief to taxpayers with an IRS address of record in the covered disaster area. An eligible taxpayer who receives a late-filing, late-payment, or deposit penalty notice for a covered deadline should call the number shown on the notice.
Taxpayers outside the disaster area whose records needed to meet a deadline are located in the covered area should request relief by calling IRS Special Services at 866-562-5227. Relief can depend on the return, payment, taxpayer location, and original due date, so review the official announcement before relying on the postponement.
Why It Matters for Schedule C Filers
A qualifying sole proprietor in a covered area may receive extra time for certain federal filing and payment obligations, but the relief does not postpone every tax deadline. Keep income, expense, payroll, and supporting records organized, and confirm which obligations are covered before changing a filing or payment plan.
Simple-C helps Schedule C filers organize business income, expenses, and supporting records — providing a clearer bookkeeping record when preparing a return or discussing disaster relief with a tax professional.
This article provides general information, not tax advice. Disaster areas and relief terms can change. Confirm current eligibility, covered deadlines, and payment rules on IRS.gov.