Disaster Relief Tax Credit

Did your business become inoperable after sustaining damage from a hurricane, wildfire, or other qualified disaster? If so, you may be entitled to a tax credit.

Eligibility

Your business may qualify for a disaster relief tax credit if it meets the following criteria:

  • Located in a designated disaster zone
  • Retained employees during a recovery period despite becoming inoperable
  • Continued to pay employees unable to perform services during a qualified disaster or relocated employees to other locations to resume their work

Qualified Disasters and Designated Disaster Zones

As of December 20, 2019, there are many qualified disasters in the United States that are eligible for the credit. Here are a few qualified disasters for which the credit is available as well as a comprehensive reference map of all current US regions with designated disaster zones:

  • Hurricane Dorian (2019)
  • Hurricanes Florence and Michael (2018)
  • California wildfires (2018)
  • Hurricanes Harvey, Irma, and Maria (2017)

Eligible Locations

Disaster Relief Coverage Map

Find Out If You Qualify

To learn if your company qualifies for the credit, please fill in the below form. We’ll respond with a list of disaster credits you’re potentially eligible to receive as well as next steps you can take to claim them.

Filing Requirements

There are no filing requirements for the credit, but businesses must meet the above criteria and maintain proof that the employees performed substantially all of their duties at the location up to the day the location became inoperable.

MaxCredits: Identify Available Credits

If your business is located in a designated disaster zone, we can help you determine your eligibility, claim the credit, and locate other federal and state hiring and wage-based credits.

To start, we’ll work with you to determine if your business qualifies. We’ll then do the following:

  • Collect and review the necessary documentation and payroll to determine each employees eligibility and identify limitations on wages used for other general business credits
  • Prepare a final report with details about claiming the credit on the appropriate schedule

In addition to calculating the disaster credit, MaxCredits has a web-based platform that can determine if your business qualifies for other federal credits, including:

  • Work Opportunity Tax Credit
  • Employer Paid Family and Medical Leave Credit
  • State-level hiring credits

Insights


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Your business may qualify for disaster tax relief if it sustained hurricane damage during Harvey, Irma, or Maria.

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