In the wake of the ongoing wildfires in Los Angeles County, our heart goes out to all those affected by this devastating disaster. The destruction has been overwhelming to witness, and the loss of homes, businesses and lives is felt deeply throughout our community. However, amidst the heartache is a profound sense of hope and pride in how the people of Los Angeles County have come together. The strength and compassion that individuals, organizations and first responders have shown during this time is a reminder of the power of community. The community’s collective effort to support one another is not only inspiring but a beacon of hope for a brighter future.

While we understand that there are many questions left to be answered and far more immediate needs to be met, victims of the wildfires should be aware that there is property tax relief available if their property was damaged or destroyed. On Jan. 14, 2025, the California State Board of Equalization issued a news release encouraging residents of Los Angeles County who were impacted by the wildfires to contact the Office of Los Angeles County Assessor to begin the  process for tax relief. California Revenue & Taxation Code Section 170 provides property tax relief through reassessment for victims of the wildfires so long as the property damage is at least $10,000 of current market value. In order to receive property tax relief, property owners must file a Form ADS-820 with the Office of Los Angeles County Assessor within 12months from the date the damage or destruction occurred. The Los Angeles County Assessor will then appraise the property and determine the full cash values before the wildfires and after the wildfires. The assessor will take the before and after cash values and use the amounts to determine the percentage reduction in value due to the wildfire damage. The percentage reduction will then be used to reduce the values appearing on the assessment roll. Cal. Rev. & Tax. Code Section 170(b), (e). This results in taxes due on the property being adjusted downward to reflect the reduction in value of the property.

Additionally, because Gov. Gavin Newsom issued proclamations declaring the fires a  state of emergency, additional relief is available for property owners who file a claim for reassessment under Section 170. Pursuant to California Revenue & Taxation Code Sections 194, 194.1, and 194.9, property owners who file a reassessment claim under Section 170 are also permitted to file a claim to defer their next property tax installment payment. The additional relief is available for residences that suffered loss or damage of at least $10,000 or 10% of its fair market value, whichever is lower. For all other property, the additional relief is available if the property suffered damage of at least 20% of the property’s fair market value prior to being damaged. In order to claim the additional relief, property owners must first file a Form ADS-820 requesting a reassessment of the property and then file a Form ADS-820.3. The Form ADS-820.3 must be filed on or before the next property tax installment payment deadline following the damage or destruction from the wildfires. 

We are deeply committed to supporting our community and helping individuals navigate these challenging times. For more information on property tax relief, please contact Chantal C. Renta at crenta@foxrothschild.com or Gregory Novotny at gnovotny@foxrothschild.com.

This information is intended to inform firm clients and friends about legal developments, including the decisions of courts and administrative bodies. Nothing in this alert should be construed as legal advice or a legal opinion. Readers should not act upon the information contained in this alert without seeking the advice of legal counsel. Views expressed are those of the author(s) and not necessarily this law firm or its clients. Prior results do not guarantee a similar outcome.